Mitch Morgan, the founder of the real estate empire Morgan Properties, has formally stepped down from his role as chief executive officer. The 71-year-old billionaire announced that his two sons, Jonathan and Jason Morgan, will now serve as co-CEOs of the company, which controls a portfolio of over 110,000 apartment units across the United States.
The leadership change marks a significant milestone for the family-run business, which Morgan established in 1985. While he transitions to the role of chairman, his sons will take full control of the day-to-day operations, a responsibility they have effectively managed as co-presidents for several years.
Key Takeaways
- Mitch Morgan, founder of Morgan Properties, is stepping down as CEO at age 71.
- His sons, Jonathan Morgan (40) and Jason Morgan (35), have been promoted to co-CEOs.
- Mitch Morgan will remain involved as the company's chairman.
- The company, valued with its founder's fortune at $6.1 billion, owns more than 110,000 apartments in 22 states.
- The transition has been a deliberate, multi-year succession plan.
A New Generation Takes the Helm
The appointment of Jonathan and Jason Morgan as co-CEOs finalizes a succession plan that has been in motion for years. The brothers have served as co-presidents since 2024, gradually assuming more responsibility for the firm's strategic direction and daily management.
Mitch Morgan will continue to provide guidance as chairman, participating in the investment committee and retaining veto power on major decisions. However, he noted that his sons have been “running the show” for the last five years, making this official announcement a natural progression for the company.
"This was a pretty intentional shift," said Jonathan Morgan, 40. He described the move as an opportunity to build on the company's history while institutionalizing the business for future growth.
Building on a Solid Foundation
Mitch Morgan started his real estate journey in 1985, building the company from the ground up in the Philadelphia suburbs. His approach was guided by a lesson learned from his father's financial struggles: "Don't worry about the upside, worry about the downside." This cautious yet strategic mindset helped him build a vast portfolio that now spans from New York to Texas.
The Great Wealth Transfer
The leadership change at Morgan Properties is part of a broader economic trend. According to the Federal Reserve, the baby boomer generation and their parents hold an estimated $109 trillion in wealth. As this generation ages, companies across America are navigating the complex process of transferring control and assets to the next generation.
Morgan ensured his sons were prepared for their roles by involving them in the business from a young age. He also required them to gain external work experience before joining the family firm full-time, a rule designed to bring diverse skills and perspectives into the company.
The Brothers' Impact
Since joining Morgan Properties, Jonathan and Jason have already made significant contributions, expanding the company's scope and strategy. Their father credits them with bringing skills he never had, enabling the firm to grow faster and enter new investment areas.
Jonathan's Expansion Strategy
Jonathan, who joined in 2009 after working at Apollo's real estate division, established the company's joint venture division in 2011. His leadership has been pivotal in several large-scale acquisitions.
- He spearheaded a spending spree of nearly $7 billion, adding tens of thousands of units to the portfolio.
- In 2021, he orchestrated a partnership with Saudi investment firm Olayan for a $1.8 billion acquisition of over 14,000 apartment units.
Jason's Financial Innovations
Jason joined the firm in 2017 from asset manager Sculptor Capital Management. He has focused on diversifying the company's investment activities beyond direct property ownership.
Under Jason's direction, Morgan Properties has invested $2.5 billion in mortgage-backed securities, loans, and preferred equity deals, creating new revenue streams for the company.
"They brought skill sets that I never had, and we would've never gotten into the credit business or grown as quickly," Mitch Morgan stated, acknowledging his sons' impact.
The Future of Morgan Properties
With the new leadership structure in place, the brothers aim to continue the company's evolution. Their goal is to transform Morgan Properties from a family-run business into an institutional powerhouse capable of competing with real estate giants like Greystar and Related Companies.
"We have the capital, we have the resources and we have the team to really be that institutional private equity within a family-oriented environment," said Jason Morgan, 35.
Despite the change in titles, the core dynamics of the family business will remain. Ownership stakes, which include Mitch Morgan's daughter, are unchanged. The long-standing rule that all three—father and two sons—must agree on every investment decision will also be maintained.
The family emphasizes that this is not a dramatic shift but a carefully executed corporate succession. As Jason Morgan explained, "There's no family dynamic. This is a corporate succession plan that's been years in the making."
