New York Real Estate Journal - Women in Real Estate -November 18 -29, 2003

Georgia Malone: Blazing new trails in the real estate brokerage sector of the industry

NEW YORK, N.Y.-Breaking into a competitive, male-dominated envi-r o n m e n t like New York's real estate industry is tough. As a woman, starting your own real estate brokerage firm - and succeeding - is an even greater risk.

But that's exactly what Georgia Malone, president of Georgia Malone & Co., Inc.,

did six years ago when she left a lucrative, relatively secure position as senior partner in a New York law firm to begin her own boutique real estate agency. And she hasn't looked back.

"I took everything I had and gambled on it," said Malone. "It was terrifying, but I managed to succeed. After all, how many women-owned real estate companies are there in New York that make it? Now I have freedom and the respect of my peers - men and women - so I don't have any regrets."

Malone & Co. has achieved an impressive track record in pivotal deal-making in the last six years by following a unique entrepreneurial strategy of getting the best property not yet on the market for her clients.

While it is still difficult to knock down barriers and blaze new trails in this industry, Malone is quick to acknowledge her debt to the pioneer women who paved the way in real estate.

As a lawyer for 16 years specializing in landlord/tenant issues, Malone developed an expertise in real estate, landlord-tenant litigation and rent stabilization that gave her a competitive edge when she began representing buyers and sellers of apartment portfolios. Today her firm specializes in those services as well as office building sales, office and retail leasing.

"My background has been invaluable in giving our company a competitive edge when representing buyers of regulated apartment buildings," said Malone. "Unlike many brokers, we can fully analyze the upside and market value of apartment buildings, have the ability to identify illegal tenants and advise our clients on how to get increases from rent rolls."

To help identify and negotiate with sellers, Malone recently recruited Dan Margulies, formerly executive director of the Community Housing Improvement Program (CHIP), a trade association of multi-family building owners in New York.

"Dan has vast experience negotiating with state legislators and city councilmen on behalf of landlords and building owners and advised hundreds of property owners on the management of multi-million-dollar portfolios," said Malone. "Together, we bring a reservoir of in-depth experience and knowledge on rent control, J-51s, the upside of apartment buildings, and other issues, to negotiate the best possible prices for our clients."

Malone's creativity is illustrated by her work in New York as a buyer's representative for Apartment Investment and Management Co. (AIMCO), the nation's largest apartment REIT. Her firm has enabled AIMCO to purchase a number of valuable apartment buildings in New York.

"With changes in rent regulations and current economic conditions, the climate is right to aggressively purchase residential buildings that have strong upside potential," said Malone. "We show sellers how they can defer capital gains taxes, secure a steady income, resolve partnership and family issues, diversify their portfolio and do more creative estate planning by selling to a stable REIT. AIMCO will pay competitive prices in cash for these buildings or as Operating Partnership units to defer sellers' capital gains taxes."

Since March, AIMCO, through Georgia Malone, purchased, contracted or issued letters of intent on 30 buildings, including the purchases of 311-313 East 73d St. and a Columbus Ave. mixed-use block- front of five buildings between 68th and 69th Sts.. Malone also engineered AIMCO's acquisition of an 841-unit apartment complex in Duchess County, N.Y.

While it is still difficult to knock down barriers and blaze new trails in this industry, Malone is quick to acknowledge her debt to the pioneer women who paved the way in real estate.

"There were far fewer women in this field in the past than there are today, so they had it even tougher," said Malone. "That has changed as more smart, savvy women like those profiled in this section gain promience and achieve success. Hopefully in the future, we'll see even more women join their ranks by buying buildings and forming their own real estate companies."

Georga Malone is president of Georgia Malone & Co. in N.Y., N.Y.

Copyright New York Real Estate Journal, November 18 -29, 2003