Showing posts with label Real estate. Show all posts
Showing posts with label Real estate. Show all posts

Wednesday, May 18, 2016

How Donald Trump Tried to Use the Homeless as a Weapon to Throw Obstinate Tenants on the Street

by Nomad

Back in the 1980s, property developer, Trump pulled out all stops to evict tenants from their homes and out into the street. He was even ready to use New York's homeless as a tool in his scheme.


Trump and the Tenants

In the early 1980s, Donald Trump had a dream of putting his personal stamp on the Manhattan skyline. It meant a lot to him to establish himself as something more than the son of Fred Trump.

He had been determined to show the world that he was far more crafty and a lot more ambitious than his father. Fred Trump had worked his own property magic in Brooklyn but son Donald wanted to show the world- and himself- that he was bigger than that.   So, in a literal and figurative sense, Trump was ready to cross the bridge between middle-class hum-drum Brooklyn to the fabulous upper-class domains of Manhattan.

And in that regard, Trump had already made a name for himself with a string of home runs in the late 1970s, such as the development of property owned by the bankrupted Penn Central Railroad. As a twenty-eight-year-old unknown, Donald had to reply on his father's political connections to seal the deal.  The project offered to Trump reportedly included a lot of sweeteners, like tax abatements.
That property would later become the Jacob K. Javits Convention Center.

Then, after establishing his reputation as a deal-maker with his own political connection, Trump was ready for his next golden opportunity.

Mr. Trump had paid just $13 million for 100 Central Park South and the building adjoining it, the Barbizon Plaza Hotel, in 1981. It was prime real estate overlooking Central Park. 
Indeed, it was considered to be one of the city’s most desirable blocks.

And Trump had audacious ideas in his head. His proposal included the demolition of the building and its neighbor- which he also owned. He then planned to construct a luxury high-rise condominium complex facing Central Park. It must have seemed like money in the bank.