Eli Broad

Eli Broad (June 6, 1933April 30, 2021) was an American businessman and philanthropist.

Broad was born on June 6, 1933, in the Bronx, New York City, the son of Rebecca (Jacobson) and Leo Broad, Lithuanian Jewish immigrants who met in New York.

His father worked as a house painter, and his mother as a dressmaker.

His family moved to Detroit, Michigan, when he was six years old.

In Detroit, his father was a union organizer and owned five-and-dime stores.

Broad attended Detroit Public Schools and graduated from Detroit Central High School in 1951.

Broad attended Michigan State University, majoring in accounting with a minor in economics and graduating cum laude in 1954.

Among the jobs Broad held in college were selling women's shoes, selling garbage disposals door-to-door, and working as a drill press operator at Packard Motor, where he was a member of United Auto Workers.

The same year, 21-year-old Broad married 18-year-old Edythe "Edye" Lawson.

Broad worked as an accountant for two years and taught night classes at the Detroit Institute of Technology as an assistant professor of accounting in 1956.

Wanting to work on his own, he founded his own accounting firm and was offered office space by the husband of his wife's cousin, Donald Bruce Kaufman, in return for doing the books for Kaufman's small homebuilding and subcontracting business.

Doing the accounting for Kaufman's small business led Broad to decide to enter homebuilding himself.

In 1956, Broad and Kaufman decided to partner and build homes together.

Borrowing $12,500 from his wife's parents, Broad put up half the capital in their first venture together, building two model homes in the Northeast Detroit suburbs where a new generation of first-time home buyers were flocking.

By streamlining the construction process and eliminating basements, offering a carport instead, they could price the houses so the monthly mortgage would be less than the rent for a two-bedroom apartment.

Kaufman and Broad named this model the "Award Winner" and priced it at $13,700.

After one weekend, seventeen were sold and within two years, Kaufman and Broad had built 600 homes in the Detroit suburbs.

In 1960, fearing that the Detroit economy was too dependent on the automotive business, they moved to Phoenix, Arizona.

In 1961, Kaufman and Broad Home Corporation (now KB Home) went public on the American Stock Exchange.

In 1963, Broad moved the company to Los Angeles.

Soon after, Kaufman retired and he and his wife Glorya Kaufman went on to become noted philanthropists.

By 1969, KB Home was the first homebuilder listed on the New York Stock Exchange.

In 1971, Broad acquired Sun Life Insurance Company of America, a family-owned insurance company founded in Baltimore in 1890, for $52 million.

Broad transformed Sun Life into the retirement savings powerhouse SunAmerica.

In 1974, Broad stepped down as CEO.

SunAmerica went public in 1989, with a remaining share of 42% for Broad.

In 1998, he sold SunAmerica to the American International Group (AIG) for $17.8 billion after three weeks of secret negotiations.

Broad continued as CEO of SunAmerica until 1999, when he left to focus on philanthropy full-time.

Broad became the youngest Michigan resident to attain the credentials of Certified Public Accountant (CPA), a record he held until 2010.

In the same year as its founding in 2010, the Broads signed onto the Giving Pledge, a commitment for wealthy individuals to give at least half of their wealth to charity.

The Broads personally committed to giving 75% of their wealth away.

In 2012, Broad's book, The Art of Being Unreasonable: Lessons in Unconventional Thinking, was published by Wiley and Sons and debuted as a New York Times, Wall Street Journal, USA Today, and Washington Post bestseller.

As of October 2017, the Broads had given more than $4 billion to support K-12 public schools, advance scientific and medical research, and bring contemporary art to as wide an audience as possible.

In 2017, Broad announced his retirement from the Eli and Edythe Broad Foundation, passing responsibility to its president, Gerun Riley.

Broad said he would remain as a trustee of the foundation, and continue to serve on the board of the Broad Museum.

In June 2019, Forbes ranked him as the 233rd-wealthiest person in the world and the 78th-wealthiest in the United States, with an estimated net worth of $6.7 billion.

He was known for his philanthropic commitment to transforming public K–12 education to a charter school model, scientific and medical research, and the visual and performing arts.

In June 2019, The New York Times published an op-ed authored by Broad advocating for a wealth tax.

Eli and Edythe Broad created the Broad Foundations, which include the Eli and Edythe Broad Foundation and the Broad Art Foundation.

These organizations have assets of $2.5 billion.