NYC

Real Estate Mogul Schorsch's Year-Long Daily Buying Spree Drives American Strategic Investment Co ($NYC) 36% Surge

06/26/2025 03:12

American Strategic Investment Co ($NYC) is a small-cap real estate investment and asset management company with a market capitalization of approximately $30 million. The company has been attracting investor attention due to the remarkable buying activity of major shareholder Nicholas Schorsch and the resulting stock price appreciation. Over the past year, Schorsch has been purchasing $NYC shares almost daily. Insider trading records from June 24, 2024, to June 24, 2025, show that he conducted over 70 purchase transactions, continuously accumulating millions of dollars worth of stock. Notably, he became more aggressive in his buying whenever the stock price declined, demonstrating his strong conviction in the company's intrinsic value. Schorsch is a veteran in the real estate investment industry, with experience building multi-billion dollar real estate portfolios through companies like American Realty Capital Properties and AR Capital. Given this background, his current concentrated buying can be interpreted as strategic positioning rather than simple investment. Indeed, the stock price has shown steady appreciation alongside his purchases. Starting at $9.2 in early June 2024, the stock price climbed to $12.5 by June 25, 2025, recording approximately 36% returns. The stock showed particularly sharp gains from mid-June 2025, surging from the low $10s to mid-$12s. Several factors contributed to this upward trend. First, in June 2024, the company announced signing a letter of intent to sell 9 Times Square in Manhattan for $63.5 million. This amount is more than double the company's market capitalization, providing an opportunity for the market to reassess hidden asset values. Additionally, Bellevue Capital Partners announced an increase in their tender offer price to $11 per share during the same period. This provided a significant premium over the then-market price, offering shareholders an attractive exit opportunity. The current global market environment is also favorable for $NYC. News of the Iran-Israel ceasefire agreement on June 24, 2025, reduced geopolitical risks, improving investment sentiment toward risk assets. Major Wall Street indices all rose over 1% to record levels, and small-cap stocks participated in this upward momentum. However, investors should be aware of certain risks. First, $NYC is a small-cap stock with very low daily trading volume, presenting significant liquidity risks. Large buy or sell orders can cause dramatic price swings. Indeed, the stock chart shows considerable volatility. Additionally, as a real estate investment company, it's sensitive to interest rate changes and real estate market cycles. Continued Fed policy changes or commercial real estate market downturns could negatively impact company value. Nevertheless, Schorsch's continued buying is interpreted as a positive signal. He is in the best position to know the company's internal information, and his sustained buying for over a year demonstrates strong confidence in the company's fundamentals. Key points to watch going forward include the progress of the Times Square real estate sale and additional asset disposition plans. If the sale proceeds as planned, value could be returned to shareholders through special dividends or share buybacks. In conclusion, $NYC has two key strengths: sustained buying by an experienced real estate investment professional and hidden asset value. However, investors must bear in mind the high volatility and liquidity risks inherent in small-cap characteristics.