It’s the end of an era in residential brokerage: Longtime chairman and CEO of Douglas Elliman Howard Lorber is stepping down from the firm.
Board director Michael Liebowitz will take over Lorber’s position at the top of the company, Elliman announced in a press release on Tuesday. The change is effective immediately, a spokesperson confirmed to The Real Deal.
The company noted that Lorber’s resignation was “not due to any disagreement with the Company on any matter relating to the Company’s operations, policies or practices,” according to a document filed with the Securities and Exchange Commission.
Lorber served as Elliman’s chairman for more than 20 years. He led the firm through its debut as a solo public company in 2021 after spinning off from its parent company, Vector Group, where he is also CEO and president. Lorber sold the firm to Japanese tobacco company JT Group in August for $2.4 billion.
The 76-year-old veteran executive was recently the subject of a shareholder letter urging members to oppose Lorber’s re-election to the board and to vote against his incentive award in response to the company’s streak of losing money and its stock price falling as low as $1.
Lorber was also the subject of reporting on sexual assault allegations against two of the firm’s former top brokers, Oren and Tal Alexander. Two former Elliman brokers told the New York Times Lorber was notified of an incident where Tal and Oren drugged an agent, but the firm has denied the story was ever tied to the Alexanders and no formal complaint was filed.
Investor Brad Tirpak in his letter to fellow shareholders took issue with the Diversity, Equity and Inclusion portion of Lorber’s bonus, of which he “received the Maximum permissible award” despite news of the allegations against the Alexanders.
Since going public, the company’s share price has fallen over 85 percent from its opening high, and closed trading today at $1.43.
Liebowitz is taking over the helm of Douglas Elliman Inc., which includes the company’s brokerage segment headed by CEO Scott Durkin. Durkin stepped into the role after Dottie Herman, who purchased Elliman with Lorber in 2003, exited the firm three years ago.
Liebowitz is currently redeveloping South Beach’s Mondrian Hotel, in which he took a 50 percent stake in 2019. He purchased his half of the hotel from developer Russell Galbut, who he later raised $115 million with through a special-purpose acquisition company.
Liebowitz has been a director on Elliman’s board since 2021. He currently serves as the chairman and CEO of Nocopi Technologies, a printing ink company, and was the CEO of insurance advisory firm Harbor Group prior to its 2023 acquisition.
Shareholders at the firm’s annual investor meeting voted in August to renew the chairman’s seat on the board of directors and in favor of his compensation package, which included a multimillion-dollar bonus, according to a filing with the Securities and Exchange Commission.
“I am honored to be appointed as chairman and CEO to lead the company into its next chapter of growth and diversification,” Liebowitz said in a statement. “Douglas Elliman’s brightest days are ahead.”
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This article has been updated with additional context.