Rithm Acquired Paramount Group in $1.6B Deal

Rithm Capital acquired the now-defunct Paramount Group in a $1.6 billion transaction announced in December, after Paramount disclosed last summer that it was under an SEC investigation tied to its disclosures.

The SEC probe centers on Paramount’s use of corporate assets, executive compensation, related-party transactions, and conflicts of interest. Paramount previously disclosed millions of dollars in payments to long-time CEO Albert Behler, including more than $3 million to a private jet company where Behler held a 50% stake. After the acquisition, Rithm fired Behler and later put Paramount’s 45-story 1301 Sixth Avenue on the market.