Also by Donald J. Trump Surviving at the Top The Art of the Comeback The America We Deserve How to Get Rich oes THE ART OF THE DEAL ‘Think Like a Billionaire DONALD J. TRUMP with TONY SCHWARTZ }ooks published by The Random House Publishing Group . colnet eee ee eee a Redan pasta ao iB BALLANTINE BOOKS «NEW YoRKSale ofthis book without a front cover may be unauthorized. If this book is eoverless, it may have been reported to the publisher as “unsold or destroyed” and neither the author nor the publisher may have received payment for it. The Art of the Deal isa commonsense guide to personal finance. In practical-advice books, as i life, there ate no guarantees, and readers are cautioned to rely on thei own judgment about their individual circumstances and o act accordingly A Ballantine Book Published by The Random House Publishing Group Copyright © 1987 by Donald J. Trump All rights reserved under International and Pan-American Copyright Conventions. Published in the United States by Ballantine Books, an imprint of The Random House Publishing Group, a division of Random House, Inc., New York, and simulta- neously in Canada by Random House of Canada Limited, Toronto. Ballantine and colophon are registered trademarks of Random House, Ine. ‘www ballantinebooks.com ISBN 0-345-47917-3 Manufactured in the United States of America First ition: 1987 First Mass Market Edition: January 2005 OPM 987654321 To my parents—Fred and Mary TrumpAcknowledgments “Tony Schwarts wishes 0 thank the many people who gave generously oftheir ie, in paricua, Robert ‘rump, Der Seuty, Nick Ribs, BlancheSprague, Norman Levine, Harvey Freeman, Tony Gliedman, Al Glasgow, John Barry, and Dan Cooper. For typing, photocopying, copyediting, research, and fact checking, thanks to Ruth Mullen, Gail Olsen, Adina Weinstein, Deborah Immergut, and Nancy Palmer. Without Norma Focrderer, sweet Norma, running interference for me, I never could have gotten the time and access I needed. My agent, Kathy Robbins, is the best at what she does, but also much more: editor, cheerleader, confidante. Ed Kosner, the extraordinary editor of New York, has long been a source of ideas, inspiration and sage counsel. ‘My children, Kate and Emily, are a joy, a chal- Jenge, and an inspiration. My wife, Deborah, is the most supportive person I’ve ever known, my first editor, my best friend, and—after ten years still the love of my life. Contents Acknowledgments x 1 Dealing: A Week in the Life 1 2 Trump Cards: The Elements of the Deal 45 3. Growing Up 65 4, The Cincinnati Kid: Prudence Pays 81 8, The Move to Manhattan 93 6 Grand Hotel: Reviving 42nd Street u9 7. Trump Tower: The Tiffany Location 145,8 Gaming: The Boiling onthe ourdwalk 8. Wyma: The Batl for Hilton 20. Low Rent, High Stakes: “The Showdown on Cental Pack South 1, Lang Shot: The Spring and Fal othe USEL 12 ee Capades: Rebuilding Wollman Rink 18 Comeback: A West Side Story 14. The Week That Was How the Deals Came Out Index 22s ao 344 DEALING A Week in oon ot forthe mony. ve got enough, mich oe ten ever aot 1 doko do Dealt ny a form. Or people pit eal on (aevar wre wonder pry ke making del ‘ely tg eal That bw {pt my Kk Most peopl ae Srl byte way wer pay ic very foe. I dont cay a tree. ey tw sched oo many meetings. He my door open {can be imate o exec fy ‘ps too much arvcte.Ipreer cone fo wrk ch hy and jut ee what develop. "Thee no pial wk in yi. I wake op mostmons ver ely, sound st, ad spend the is our or 5 of each dy Teag the moming new ely ave my ofits y ie, a get on fhe pos, Th's ly ay wth fer thn fy fal and often rs overs Rnd Ia betwee havea ets doen mets. The maj) scr on the spr ofthe moment, and fw of em Is Seger tun iin mies. sop for ch 1 Sane ny ce by sch, Dut Teeny ake ‘al fom hore ati mihi, ad al weken on. Tt oer sop, sd I wot te ayer eyo learn fm th pst ut plan for he ay focusing excel one pest. Th’ whe te unis Abd if cat he fn, wha’ the pot MonDay S00 x34. My tcl st Alan ("Ace") Geshe, (th eding foe of Br Se aja Wall Set ‘aremet tasking fim Alun he CEO of Bear Stam, e's tee ny Investment ake for the Pst five year, ad's he best hi. Two Webs 26, swe bein buying stock in Holy Is. wos seing {in the 0s Aso his morning, Alan else, Tove jut over one elon ses, 2 aighy more sn fret of he company. The stock closed Fis at ‘eS shar, mes, Ala sys, bees weed at the Sect tht Te eon a bi bayer, and e's ‘secalaion Tam pling ru tthe compa. Desig A We ini 3 ‘The th i'm Leping my options open. 1 may skimtty go fr col of Holy, which Tike Somewhat indeed, At te cua sock pre, eal ge conte! for le than $2 ion Hoy ee cine hotels col be worth eat mac tte company eves aaah 300.00 ot ome ‘ede. ‘second option, ifthe ak pce ges high enough, ‘toe my eae and take avery mee poi I id "hat tay. Ta aeady be wp abo $7 elie, "Te ti pony i hat Hoiay my evento uy tack ny tae, a emi, imply get (fre, the prec ig enngh TH Iiany case Teno sesing he legs o which bad smanagernens pot peoere Wht they call eit Independencech realy ja meat oe. 930 1c. Abraham Hind cals me, looking or tive Abe sa ccnfl al ete developer but be ‘rans wo be a pliicin.Unfrtmtty for Ae, far beter developer tun picisn “Tis al, Abe ied wo run fo beenat goverWests meting for Thar. 10:00 at. call Do oe ek Bn. sat neo the ot cee do shows i te Used ‘Stes on WNBC, sad e's been elping 10 ie smecy Tr the Atabel Hl fn Tm aed at haw his ba owt it ch snd cw beg st week when Ts 9 onal ‘Seer opr by Tom Brokaw boat hi doable ee 1S fom Gori, Me Hil, wo war ing ae er farm tom big frost, He sityseven jem ‘hand ad coraind cise few wets et hoping his Iie insrance would ave he fe, ‘ith ten in te fal fo enertons. Butte Turn proces were eat cough Ht was vey sad Son, and Twas moved. Hee wee ope who'd worked very ard ad honey al er ony owl crm before hem. To eit um, ei, od thing or ne ing 10 op ‘That ely got me going salt the gy: “You Dat AW ee = § ten to me Hf yu do eels, peony ig ‘awl er te gl youu our an, em he ‘pounds tt you based Mes. Hs bsbd ois ‘at Alls mene bank offer sounded very eros and sid he'd pt ight bck 1 we ‘Simetines pays tobe a ie wid A hour er cll ack fom th Dank, a esi, "Dont ‘tor, wee ging to work itt Me Tramp” Mi TH td Prk Arpeigh wi the mei, and te ‘eat ing Item we ead yom nto By the end of he wee, we'd aid 40,00. Is lene ass ast 2,00 by apeing ti tener ‘Ast Crises prea to Min Had te aay. fete scheduled oigage uring ceremony fo ‘Cu vel thane TT By tn, Tm coef, nel have rated al heey. Tee Tel ims he's te reset, and 1 vite hi ote ny gut one ay ext week a etait {86 US. Open. Thea couse box and Tae Ime alot every ay. Now Fm so by Tet, os end my fees 118 am Hay Ute, the commoner of te Unied States Fontall Lape, cals Last ah be ny in he acres at we bought agaist the Noon ‘Fon Lease red a te NFL wat «oop yg but ed snl then damages of oe dl Pe alady let the beer players on my team, the12:00 aaan Gary Schoen, tad of the Stuer Orgmuto, the bigge Brendnay theater owner ‘alls 0 mcoaend a woman fra job oro tics ‘soinizmor” He ele the woman ‘re © work for Donald Tramp, and Tsay a's (Say bt be apy see be ‘Weta ite abou the ater bse, snd ‘Gey Tm sat take my is see Cat, oe of ‘ir tows, ors sco ime He ak fm ping sy ook tough is ofc. 1 tel Hin tha Ido et do tat sor of hng. “Dot be li.” bes. “We bie a woman Bee wits obi handle thlet or oo fede, He's Ber sumer. Don't estat cll” Tes nce geste fom avery ey 118 rae Antony Glainan ops by © discus the Wellman Rik projet. Gaiman wae Boing ‘cmmisiner under ES Koch At the tine we foaghe #14, td eventhough I ded up esting tiation, T-avaye ought be wie tei 1 oo ho agit people tat dey ve ppt Fm pt ig ee et et, ere because mot ea waste of ine 18 rau 1p incall w Sc Coes Goldstein: ‘a's ot a Teen message He's scent eletme earns, bt tone oy fries. Ti pty sue Chace olsen i om he roe. ches avery pompous ey and hated ct Ie royal, 3 T cll het ‘Sie Cals, Over the scten, 1 ead tht Las Tones ha io Sit (Chas fo represent him on # dea i Fl Beach ‘where Lexan Tino be prt. Le dv ay ‘Emin bot ny ps eerie th Se Chases, ‘Awe nck Twa nth i of making et Sha gy wo nce nate tec ‘Si Chars The mst ig imew, Sit Chas was ‘remmening bce athe mx make th Jat “adel to by ve codon tower inthe ‘rm Besch sr, Lown 4 home Palm Beach—a speci place called Mar Lagoa ey st ‘ine, when Twas down forthe weekend, Iveco {Shine lnc wi some ene. One way, «pair eau aming white ters caught mye: rune couple of els I aed ut thy een il fee sboat $120 milion and a major Now Yo bank 1a jst else on the developers: The et thing Anew as making elt ey the pec fo $0 vain ‘ual en, Witla Feary, ft memoaed ‘ht Lees show! do areal ett del opt 1 think Lac am exrorinary tannin who Bat Sone wooden ing Chyler anda lo like tm get dea personaly 50 one tig led or and we bean aking abot te ter H' & ‘Ss ivetment, and im no comin Lee ane A Wek he e+ 9 scaly are yo te wan 10 forward. IF {haste cse, tocar 1 me, he's net pect ‘hing by hing sh atomey T dot IAs. And ta ly what Ital ol Sr Cares when be (cine tak 330 rou 1 call my site, Maryan Bary, © “Suc recet cio nw we re comeing in Ate Ci. Maryane i federal ou jae in New Jone) and er heband, Sn, tend ttorney Te aod on many coca. "Can you alive hey id pls ws” Tak ee. Mayan if ery start she voy knows ot tore ou aw ha and e's pid in Tel ber that I've srnged 10 have al he ‘ani fm ese matt Joh imei, rca I wth to bad the apps 4600 rau. 1 1 ou conference room 1 ook at Ser of pteba Chris dees fr he a fn Trump Tower, The spectacular scary marble tts as become oe of he lang wa tc ou ia New Yok Cy. More da 10,000 peopl = ‘tek xe fm al over he werd ose ad shop ini, an 9 a sb ofthe ump Organiza on: Ta’ why Tl get noted deals ke ‘shat Cima decorions we ld te do ike met of what msn lly, se « age sd magne ot wreath forthe enact fhe bulking, and dei we shou jot the ‘Sometimes ot often, bt tometinesle roe490 rat Nicos Rite, 4 New Joney stemey who hand he Hicesing ofboth my Ate Cy ans, cl 1 sy he's about wae fer Sys, ‘Aor pure » del Tm cosidring. He tls fae is «trem fourhow ight ed lh Th ‘ery gad H's pig intend a we “Te del, howeter, maybe mort te ip. The verano New Sout War inthe mit of howe compey to bul and operte tty feviog a he word's largest cate, We' a font ‘mer fr theo ad Nik going over © met wth the key govemment pl, He ese bel fom ‘svar rom ath ay ne, SAS ral Hen Kener, the NBC execu- {vein cg of chosing anew fo enews Ieadqures, We've bees coureng NDC fr mere at yar, ying © ge hem fo mone ot Wes Sie te —seveyeight ares along the Huon Ri © hat {bought 2 Year ag and on which ve an- ‘nana plan © bal he wer’ aest bung. Tino’ Hery fas ust ben stows at atest lane forthe sie and Tim flowing op. T eatin that ‘Blooming’ ding 0 Boome he anchor ein ou shopping cee, which wil ive eal peste. T ‘So el bin te iy seme very exc oat eu Ine plans. Thee Ty we expect 1 pet ur peli- ‘ry approvals in the neat sewer! moms Kanepterg seems cathe. Beto fst of, 1 sho pat lg for NBC's ooing oes i ae Desig A ein ee 12 ds lle Haldia. “Think abut" L the ume symbal G2 rse After seve mare cls, Heme he fice tad ake he eleaor psa oy pene in the eid put of Temp Toner Of couse, I have {ends o mae ew mere cl he ge ne rurspay ‘0 sta an Beek. Bosky on whirgss, exe ant his wife eal the majority wer of the Bev ils Hoe nd ve jos al at's deci ao sell it have o iden when Teal ht ost to ‘wees fm now Boesy wil plead ply inser ring, and hte rel reson e's eager sel he Neel athe ste oie cash ftMy ids i hire Seve Rabel nd Tn Schrage, ‘te ces of Sto 36a th Pla, ra tie Bovey Hie Hot for me, Steve's an incre promot, and bed make he bt it el gn 1 Bowhy and wl hin Pm very nr. He wis ‘me Morin Sui and Company is ning te (aad wil got» eal fom pope shorty. Tike Loe Angeles. spat oof weekends here ring the 1970s, ua Tabs syed a the Bewey il Bot wort et my peonl profes fect ny basis pest Much at 1 Uke he bol, Fm {sree in only WT can get for & mich Ete se On hyve now ating 9:90 not. Alan Greer cals. We've tong an- er 100000 shares of Hol, nd he stock up ‘ter points al Trang evry aie 1 ‘Ale ve bed dt he top ye a Holy ar ina uk ht hey eng emergency meting ‘ica bw to ect 10 me. Alan syed be thik Holy wi eoact some id of "pan sy of foie of anh stemges I mae ma ore ‘laser ‘Our cal lets le than two mutes. That's one log ove stout Ala: be ner wastes tne. 1:00 se mest with th concn in charge of being my 2,700space parking eae and anspor {aon oer sc he tet orp lr os ‘Boa in Ate City's 90 milion job and Desig A We ine = 12 terre gv mea progress eet. They el me wee on sine ad ener be "The game il be aly inne or Mori Dsy, ‘nyc. He's come to i sie, and‘eminioa, Tis was king god sect a step 40 fa As you ca nage Henry was le. 1248 rot. Jack Minit, my ascomtat, call 10 dsc the a impcatons of «del we'e dong. 1 SHE him bw ta be ks te sew federal a ing tobe or el erate, sce sinter of ‘ren ral eo ef "To my me, Min all mee hn thaw novel plas formes mich of my ath ow ces fom sos a enema he ep at fate on eared income Beng pe om 3010 32 erent Hower, Tall blve the Iw will be ‘Sater for he out ane eine he sce “het ive and ufc secon Icons, whe mo Belling wil oar tls thee 130 rat 1 ll Nora cal Jobe Daf he Regina ter orm Mis en Dade evomaly, bt he's one of the few senators who {ough har agit the set ll 1s protbly oo ht jt ant 0 congratulate hi on having onrae of emits even ough ight cost pasa anh, tN secrty say el al 14S vat, Norma ses a opeing betwen call, ce comes in 0 nk me seat sve avons Deve Wits the New Yor Yanko oti, hes Deny A Wein ei = 18 sted me ote he oman of «nero beet ie femdton, whch igs dg abe. malady hating ‘wo dinners is mento fo United Caer Pay tnd he oer forte Poze Ail Lene. don't myslf abot why sed peak a ‘er cha s0 may evens Is tt bce I'm ach 3 fpr guy. The remo is tat te people who ‘artes Know dat Ive got wey finds and ean ft tem to buy ube T unesand he game, aad tle dont ike w pay hr sno gael way ‘tower, I've aedy it op my fends tice {is mnt—and he's only 0 many tines you can ‘st propl 9 dose $1000 fo able. Rer {our Wil down, with eset, The ater invion i fom the Young Prosien Cramton, soking me 1 pe m8 inner theyre teving. YO ants busznimen oder he Age of {oy who we hel eecaes of tr compas, T ‘ued ory two mom ago, 0 ees, Kee ow quay a a ele ses. ‘Noma. ao asks me stout» it doen pay lnvtons. Tay yest wo. One bing vee Oy ‘Ace Mass, i al nate bot who ha manage totum bel nto 2 major vale by geting theasec, 0 1 find myst ging 10 more than 6 leva then ayiag ard to leave eu A fo, forum Teng. But more often Tw cept a0 lnc many mon in nc, cinking te ae io fro a wil eer ai. When oe, 1 (toad a ysl foe hing ace in he fit lice By then H's wally Yo lat pl a 2.00 rats 1 eta ea and cal Alun Grenbers pin My le ed he fat tha CT mak {aor move apt Holy. Tate wo ge ese ‘cio operon Neva hare Hay owes {ois What J you ik” Task i, “stout {jt sling ot Hoi ses ight 10% in oi, an ten rehinking a keer to er Hae eomod?” ‘Alas forking ight wih what we've pot yo Foro. kp os any epson pe slean 2tS ras. Jahn Danforth cal tack. We have ee (ak, sod hn ep up th god wok 230 rau Lretun s cl fm ae ofthe omer of ‘te Does Hole Lat, ep. They alo own prt the bet undeveloped site ete Vegan sp. Fr te ‘poe, Fa ter eying ete casno basis [ke he cle, which i huge, he the gamosr, and mast of alike he Cath Bow Ifyou Aso wht You we ding ad You fan your open esnahy well, you can make 9 ery ie profi your it wry well, you can make ‘Tw of money, 25 pat My bret, Rate, and Haney Fee min, both eee vce pee n my cmmny, op by 1 mp 00 meng theyve had ta ay ‘rh Con Eason an exseates fem NBC aot be ‘Wat Side yards poet. Con Ed has a ag sak suc on he suthenend of ee, and he meting ‘es to dicse whether be fone om te ack Woniddisipue at efocvely ifs ge Bailing pes alpen Rober who i Wo yeas younger thn Tam, sofespole and easy, Dt he's vey tan ab ‘aecve. 1 isk mst be edt hve me fort rote, bute never and ting abst Had trove very lowe, He dtl he oly gy ay Tite nbn 1 ever cal “ony.” ote pe og with mt veyone, which (getter, sce Lomein vet bee al Fave dient pe oansene, wt oo co Ing, the’ goa bola a in “The Con pel, I'm happy o be, 1d [NC execs ta ee o Fenn 0 tleve the resee ofthe NBC balling wil afl the sake Sack Unfronately, Con Edn’ be tlt wor Before we can pt or sprvas we've 1 get an indepen ervonmena apa Sateen 215 rat Tal Hester St ofthe Cy Paaing ‘Commision, wich wil be te Fit city geey tapprove or dso car et ln for he Wee Side Sere Se ad hs pple ae ceded 1 have = ‘Heogh fe esece ofa eal a fst a aoe ‘We tk about the Holiday Ins station and sever ter deals hat are in vvoos Mages ike ‘Alan Greer, Schrager it ig on wating tine WWercovera all deven subjects in Tes dan to ater. 290 ra, My wie, ana, ope ino ay goa. ‘She's ery 0 Aan hy, by eer Te {oi er ht he works are han a Last ee, ‘then I bogit my second casino from the Hon (Corpor snd renamed Trump's Cale, | eid to pet fam in chugs. She incely good at Sabin he's eer done, 2 marl manage Taos pow wp in Cochoriay an aly cl ert wa on serene i ery oo iho ad be sated Trea ang very ety. By the Desig A Wes ie e+ 19 eo she was wining mel, ud in 1972 sbe ‘wat an aerate one Cocosovlin sk am at tte Seppo Winer Olympics. A year ne, afer adating trom Chars Uaiventy Prag, tbe ‘moved to Montel and ery quickly Bec ee of {he top models in Canad. "We me a the Moateal Samer Olympic Games in ‘August 1976 Ta da sc of fret ween by then bt never gone seul volved wih ay of then. ana was someone Jou date cal. ‘Ten moat ae, in Apel 1977, we ere mad. ‘Almost ned, I gave be esposiyfor be Ime dosrting oa the pect ad under wy. ‘She di a peat, Tran ny be the most organ person Tk In sen to raiing thre crn, she rns cur se mesh aprtnentin Trp Tow, Mars age, ml oar howe In Greenwich, Comet aw ‘he alo minges Trump's Cate, which ha gon matly 4010 employee. ‘he Cale is dong et, bt Tail give Tan 3 ar time aout he ft mt i's t yet abo. ‘cl er theo the biggest ft ow, 2 by al "gh should be th mot pti, Iran lost 1 compeatve Tam and ae inn i's at 8 ‘lsadranage wih be Cate, Sosy she nec oe ‘us. She concerned tha building he ae il fost $40 lion. All he knows ie tat no hving them is ting er bss nd mig i ough for ert be number ove. Ty is met T wou etait be.{4S rat, Te excetve vice preset fr matt ingot the Caitoc Divi of General Mtr Ison he poe He's cling the suggetion of ose, Sohn Grocberpe, te prin of te Coil Mo ‘or Divison whos iw fm Pan Beach. Cale, Iam ot, meresed a cooperating in he probe fon of ew rupee loose tat wou te ame the Trop Galen Series. 1 ete ie, We {ts dz ot down ad tk a T40 weeks “400 ra Dail Lee, a in ant for reel ‘Dont Lambe, spe y with sever of i ‘Egac oct eng my ivertent nk on (ato pcs # hel company. Michal Mike, the guy wh aes jk-ond Sraning a Des, as lod me relay for te Ia severa erty 1 etme beg bie 4 Drea ve no eat reel abot et ‘emetbed ie he nerading sal hat wil som ‘pak Wall SeectIn ny cae, 1 happen to tik Nite’ bent guy. However, Alan Greeaber ‘xcepnal hel and Tm ej pope we Ane pod wok foe Tear Lae and is pays out on thir del at in rt if doen excite me ch, We eave at ft tack w te ‘5:0 rat. Lary Csona,fomer runing back for ‘Se Mian Dolph, cll: He has oe or epi ‘he USL lve He want omerp wih te Cm Canaan focal, wih tof payers nobody hat heard of, ging hip? Weve ptt Wn ee cars fin, breakup the NFL monopoly {$30 rat. cll Clin Ka, the designer, oe ‘Baath. Buk when Trp Towe ft oped, ‘Klein tok flor offices for his sew perf lie, Obsession. Il 50 wel hat within ets be pended to second or Now be ding fer than ever, ands he's taking over hd or. Tv tof ada for Calvin, an Tl Ne, 10. He's very etd eines, bt hel ey ‘ood Sls ad banned the oh ‘aon foe quite ht mab cen (600 rat. 1 det eter to Pat Gols, achi- tect ie ofthe New lok Tims. A wesk a, 8 ‘Sundry column, Gober pve a rea review the eign of Bary Pak Cy, the om deepen lower Minbar. He also call t's sting con teat" 1 wit he died were dong wih the ee loa iy projet atthe West Side Jars In ober ‘nd, he led "Thew's jst one cach> wee in the mie of esining our prot with tow rec ad coe ‘2p, ad obaly—icing Golerger— hat sonur new plan Ho was koeking «design be bat ‘re ak we Dear Pal” I woe, "Your rset aril is a8 pinch pene and ee wa to oo fn ny Incas Desip was bie the ptt tease every uding tw be prety mach he sae: far wal, cmmoe bck fgets, td sah You ual ra ‘sick not nsw beaut you Ia bs bcs ‘twas a peony abe ceapr tha ta ick. Tol rmerber tine whee my aber visited he ‘Trump Tower sie, midwry Hoag cosas. Out fagade was » ght crain wal, which er ore ‘expensive tan eck In ation, we were ting the mot expensive gs you can bay—trose sole My {athe tok ne fot, an be aid 0m, Wy do ou forget about the damn pass? Give hem fa ot Five stores of and then se common bik for the ‘es. Noy poig ok op any” Ta 8 ‘sic, Fred Tp unig there on 57s Suet ad [th Aveme tying 10 sate a few bucks. Tas touch, and of come I undered whee be wt coming fom—bot aio exactly why 1 deed iene. “Teal aon waned ef yf bie moe pratt the ft ti wat pysealy rough an fiancily tugh—ows tht I tad ter ‘eas and vise. And here ws 0 ay inp ‘met tem bling hooting in he ctr boug. ooking back, Iie ow that 1 gt sme oy ewe of thownantip from my mater. Soe ewsta ifort daca the ad. Ste wa & ‘ery edo Rose, bt se ao ha sense of tte wad tend her Tl ememer my mat, wh Seth by Sth, siting in fet of the te sien se wa Queen Ez ornaton ad ot bedig for an cate dy. She ws jo ential by ‘he pomp and cieumstne, he we ee ray td gamer. Io remeber my fbr at 6, (cing wd inp. "For Chests se, May” Sy "Engh cough, tu They al & ch on ass” My meter de even ek op. ‘hoy mete tal oportes in that see. MY maer lovee spend ab ragaience, wm er, ‘sho ery dormsmeath ga ec ely by com ace i ein) CINCINNATI KID Prudence Pays cou, wile my frends were feding the comics andthe sport pps of ewspipes was ‘he ings of FA foreleg Seem a i soormal sy Int of eeray Sand ovsing rots infor, bt Bas wat Ti ‘And tats how fond ot shat Sion Vilage sea afb aT ong wh my ter, whe Tain College an it was my is de. Sion Vilage was 81 200antaperient devel pment in Cincinal, Oho, an wa very nbd Pe: There were $0 vac partment te develop bad gone under, te goverment ha else .nd he wine del wat 2 dante But fom cur ernest ws get Recep ate ‘pyran. "Ae of ics, whee you ae ding witha gover sme gecy oo ores hey jst want tot (Fito qakly as psu ‘They art equipped tangents me, tings had deterred 50 aay that so on ele was ven Bing, "ode youl find he ame ing f 0g 0 he Sun Bal, wher they til al hat howsng ding te tl oom. Now Jou tv hae develope with 30 se 40 pent Vaan rae Developes ae al rome bs ae oeclong on thm 18 9 peat ‘ime fora eu tyr Bea ou can zt vie tile del, My fer and pt in very minimal Bd for ‘itn, ad was sped. We endo p paying se than $6 mic fra ob which had cot ce Sa ‘auch wo bist wo year eater, We wee bo ‘meet able gta morage fer what we pi rsa 100,000, nich we pt tvard ing te fine wpm ter Words, we gt the projet wit ting dows any money af ut ov. All we ha 0 Wr go and in And if we dl even 8 afeuy aj, we oul exly cover ou maa fa {be proces of he et “Theft at twas ich ig ob appeded to my father and 19 me tea i meet we cold focus 3 Tet coy ont wt og we wore wang Oa tine, Iker alo he sane amount of ey 0 Ts Cdn Tae «89 mange 50 ai a does 1,200—enept hat wi "Ta you tive «mach ener apie ‘Air we negoted the day sucess became & ner of manage! and murktng The cen ‘tas get he place ented, and ned 0 god eats ‘ho woald tay here. The tens who wee igi Se poet wea T took oer had oped the pace part Many of hem ad come own from th lof enc. They were very por ua seven oe ight ‘ile alwst ‘0 poner, td 0 expres living na apurenet complex. They ramed io ‘oc oom and twostom sparen, ad cies ‘et wl Thy wouldnt deny the aprens at ee hes on he pee "The eat nt nly i care, many of he bo ‘id's 10 py tn I Yon rsd the hy al eizcy tate of Wht we donee at te avd eying re these people woud eat al, pall ip in fot ftir apartens on ot theming and disappear mote night wit al ie ‘wlongines Tha was le by me, ot wate ake sre we ft pl fis. Our tol nan nit "ler-ch” We hl scone on oun he eck po. Ar we got rid of he bad tess, we set how ‘icing the pce up fo tea steer element. Tat ‘sued fbn nese, st $50.00 by the te we were doe, which wat 2 tof money in those dys. Buti was mre da woth In New ‘York he laws prevent you fo geting fi creer even wien you muke improvement Cc‘84 + TRUMP: THE ART OF THE DEAL ‘The Cincinnati Kid: Prudence Pays + 85 we were immediately able to charge and get much higher rents for the apartments at Swifton Village. ‘The first thing we did was invest in beautiful white shutters for the windows. That may not sound like a big deal, but what the shutters did was give a bunch of cold ted brick buildings @ feeling of warmth and ccoziness, which was important. It was also much more expensive than you'd guess; because you're talking about 1,200 units, each of which has eight to ten windows. The next thing we did was rip out the ‘cheap, horrible aluminum front doors on the apart- ‘ments and put up beautiful colonial white doors. I made sure the whole complex was very clean and very well maintained. As 1 said earlier, T've always had a personal thing about cleanliness, but I also believe it’s a very good investment. For example, if ‘you want to sell a car and you spend five dollars to ‘wash and polish it and then apply a little extra elbow ‘grease, suddenly you find you can charge an extra four hundred dollars—and get it. I can always tell a loser when I see someone with a car for sale that is filthy dirty. It's so easy to make it look better. It's no different in real estate. Well-maintained real estate is always going to be worth a lot more than poorly maintained real estate. That’s been less truc during the past few years in New York, when there's been such a fever for real estate that people buy anything. But it’s a mistake to be lulled by good times. Markets always change, and as soon as there's 2 downtum, cleanliness becomes a major value. We painted the hallways, we sanded and stained the floors, we kept the vacant apartments immaculately ‘clean, and we landscaped the grounds. We also ran beautiful newspaper ads for the project—at a time when not many people in Cincinnati were advertising real estate. People came to check us out, and the word ‘of mouth started getting good. Within a year, the ‘buildings were 100 percent rented. Along the way we went through a half dozen differ- ‘ent project managers before we found the one we wanted. We had managers who were honest but dumb, including one guy who literally painted himself into the comer of an apartment. Others were smart but didn’t know the first thing about managing. Fortunately, ‘we went through them fast, because I tend to size People up pretty quickly. Unimately, we got a fabulous man whom I'll call Irving. Irving was sixty-five years old and a real character. He was one of the greatest bullshit artists I've ever met, but in addition to being a very sharp talker and a very slick salesman, he was also an amazing manager. Irving was the kind of guy who ‘worked perhaps an hour a day and accomplished more in that hour than most managers did in twelve hours. I learned something from that: it’s not how many hours you put in, it's what you get done while you're working. ‘The problem with Irving was that he wasn’t the most trustworthy guy in the world. I suspected as much from the first day, but it wasn’t until I tried to put a bond on him—something I do with any employ- ‘ee who handles money—that my instincts were con-famed. My lsurnce agent cil me back afer ‘ning «check, ad he sal, "Donal you've got te ding ton ond. Tis gy is 2 con ma” It fumed ont tn ving ad ove all os of con jb nd ewes, and he fen ec wb wih he tm "iy sinh ha aways bee ta you ever cath vomeone ealig, you o£ fer hin Ye ‘ar etn feos oan ines oe tan be Se ‘Sealing ihe worst. Bt wih ving Thad Sem ‘was fru avy tore capable than ay Bones ‘anager Tha oud, ed og a he ws i chr ‘ane under in would del. Tat meat Tony ad hop my eye oo in Tased diving. T say, "We pay you $8000 and all you can se." [Aad be woul all pet TET caught him ithe at, I would hve fied ning 0 he spo, tT never Sl, Ugur be ‘tage eal lent her $50.00 ear Even ‘0, Twas probly peting bri. "One day 1 mad in the ofc, and on of the ‘ite who worked thre was cing tuned oat tn there war somehing they called fe fond, 1 ‘wich heya ented i neo buy ower for {nyone try knew who'd da. They hd out 580i (Ge fd. When Tat he il what she was ying sats si, “Ob ein. he sole oor eral fd Test w ving and sai, ving, damit, id you nel tht maney™ Of coun be jos did He wore ed gt hse sts and ered and ed for hl a2 hoe tI nays aed he gts weremake of hi. Tee was no way weve, ht she ‘sre i ving, an ally be pve a i ‘Aout mbar, ving aT ware ting i oce when this hage gy. a mons, mapbe 240 funds, bat trough te doo. He was fo Bat {ring tad ere net fhe apr, wa ready to seg hi for coming ont is wif. The {ny had order in is pes. expe ving, bead ny sense, ois ‘ite Intel, be sed veal tacking te mu, fang wd tearing a copying hs ba in he tito gto of this fe,” he sald 11 Yoo. dey you. Thse hands a al weapon, ‘bee epee wih te pce deparnet TH seer fret bow the uy Toke a vig and sad "You come oie, you ft rp 1 want ban (pus wih you.” T amas loved ha pe: "ba (pa. And Ttoupt wo mys, ving iin seis oul, But ving seem think 0. ght ou any ne outa" i, "bat ane fo te gh” Al yo a 1 wa ok a ving oko thse answer rly ested weap Ba ing wes ‘ery mh ke oe ter. Youve sen ase Ineye 150 pounds, wo walk tel in a cage shoe t's 8 mapnicet 0D pound en poe lowe ffs seed any weak Or ay fea, ed ey the einer a scond. Bat stad She tamer cack hs wp, wal wilh ab a fsasingly, then Uses” Which is exacly Win evn i wi his age net whip wa i "Te ret was tht he guy lef the fe. He was sl inv ge, the es ing pba seed as ‘or ie, jot by showing ofa, at et ery ‘vid impression on me You cat be ered. You {our thing, you bo your pound, you stand up al, {a whatever happens happens. ’A oe Switton Village oe ving hd tuning well, 1 bepan spending ist and less tine hee. ‘ret ely ned armor in Cicimat So Text ‘ek my view Sito, fin 0 cose 4 wen od ‘real 1 eae «oth "arly on, Yd become pricy Henly wih one ofthe poner tena Swi. He was Jew ‘er mam who'd bean in scorn camp i elm He'd stared if a Amerie ma hc, en ‘ought he sop andy the ine et i, owe ‘eas foros Bucher shops. He and his wf bl {Sten two ayrtnen in Swit pot theo (ter, and thy ba a great place, ad hey were ey apy the. had oo pet this py Pee ‘id sec smarts ed een aan, nd De ws omy 2 bon savin ‘Oe ins mie of ya afer we fit rapt he slice, Ivar out wing” Tr in my fen. "How {3 yu dig, bow ae you feng?” Tate. “Goo, ‘ral he fp, Bot thn Be ok me me nd ‘hse, “Deal, you ae fend of in an ave el ou sell iso" And ai, Why?” “Because I's ging rel baat he jb btse, 1s bing sarod by people who sz 10 a they wil cot yor tat nd ‘walk mony an steve ‘ti ‘about i Tm ting about people who ey ‘tng evats:” Tht wat he ect expression T eve fort ‘Now a someaoe who responds 10 people The rpect fo, and Len Again, 5 Init, eo tureting ses. So T pet an exin two dys in Cana, and ode around, ad 1s tht tee ‘es ule beving, ht mihi wee geting a Tat te ob up forse, and mont mediely we at en fer We'd leat doe ve) wel wth Seon lage, tocme oar dee wa Yer sll lave (he sie of ti complex, dou et aly the a, rac ot 700,00 Yar But sling was tw we made rea ling. “Tne bayer waste Pret Rel Est Investment ‘Tt. Time were the go-go days wen rel este fave! ews pares Dal vested in eal ‘Siste—vere very hot The banks were aning money {any RETT Te aly pole was hat many of the ope rena he REITs wee over knowledge fr ctmeten ell hem he ys he we tacks. They were the srt of pple who'd tow soey ito a profet in Puerto Rio wiht eve fing to se Ht Eveoraly they dsr tht the Taldng try trope hey’ bought hal ever eve teen bai. Tn te cs of Paden they seat young an to aspect ad ete he propery pie 1 mang © (a ein on wheter go forward wih he ae ‘This Kid wa about my age, ba he lok Hike seconger. Pty, 1 var susie they'd come ‘eh big decison wim TT tamed ou that wha be Wanted 9 more han saying was go out for nc Hed bead oat is ‘smuran iy dowonoeg Cnt calle be Mason a, which wan sppond 0 be one ofthe fv best resiurass in the county. He relly waned Yo eat there, an wien be elle oS he as coming, he ‘sted me make a Ich servation, Td fie. sight came ina Ieee, bow mie, ae ‘meth, an Tok him over Switoa Vlg aad ‘howe hi he job. We sil bad 100 pees oxy cya te ime and be wae terested in king 8 Jot of qusions beyond th He ws nos to ge te Maso I ook aout a an our pt the ftom Swi, and we eed up spending aoa ee ours over nc, ic he opps fe way ‘onal wok fT had only oe day soak ove « tig Jb ike Sion, re a el ip ec a spend my time lenin eveyhing I coud abot shat Ts thinking of boing Byte tine we were doe wth nc, wt sos, fou o'clock, and I had eke hh ple Te sarod to New York wel ed an olin pest, srg recommend going sex! wil he pr chase. He ois bosses it eae war wonder {2 ht Sion wa a ra del. Tey approved the Sale. The pice war $12 milion—or appoint‘86 millon pro for ws. was a Bags veta on a Seatem inert "What happened soi hat we signed a coset. by den, I oud sce the dt clone cary onthe tevin, Alto essa ti ees coming 5p nd were luni to ese. We put ce i he fenwnct of Sale njiag tal ropesenations coe ‘Sbed inf wer a fhe igang of coma —eot of te cling, which swap ree 1s cer worse wee ‘will f epee a the ‘ojet var 100 pam reed at the tine of he ‘Src ening, bo we twa make he sane romine a eine of ning. ee fou moat ‘Soe ae, “Tbr hing wa 1 nt cae ne conrct n which hey pred ty close, ee fy + bape penal. That mas ao very eras, ‘rem in ery every te el he bye at up 2 10 pent dep, and fb fie Wo coe, all be fete i he depen Ply be Pret pope shoul ave been more cet. Bt, aT ald the RET wee ot oe, hey cod ake dee fst neu. Ine nd, ‘coum, never pay 1 bein oo mc fans. (On te day we sone, here were cons of act perme. THE MOVE TO MANHATTAN ao ey er on Mahatan fra hte 1 gad ste ro Wharton 1968 Bata ht pot, te inh iy was very a the pits sere ery high ad Twat ube 1 find» deal ied — rmaning god pee of prope «pie I found Mora. My fater ba Sone very wel fr el, ‘ut he ie eve in ving hice hag eat ‘onde, When gad fon colle, Thad a et ‘woh of peas $200,000 aod os ft wae Sos {in blige in Brokya and Ques. $01 waited. ‘ent wor ling 1 my aber sae, a1 coined to apenas much tine as pone ia Manharon "Te ting plat cae ia 197, whe 1 eed to eet Msbatan sparen. It was st, i Tulting on Third Avene and 75 Set, andi Tented oto the water tk ia Be coun of he eset bing, [Jing refered © my apartnen {2 pete, beste It cd apen fo bee the tap toro eb. T alo sed wo vie p 0 thi woul sem gg. But wo mater wa Tt | ws sl dn, dingy Hide sparen en v1 | | Tove i. Moving lt hat agrent wae prot ‘re ecg forme than moving een yas aes, {our mere? I may know sre who mem {Se te tp fre Bore of Damp Tower os ‘eo" Ant bei, Tm ory, we do hat," ‘Arousal Sty Stet eveking Cental Pa |b mg up "fu ve wo edend; Twas A from Queens |The ant ay I clled agin an si, “nod 0 who weed in Brocka, and ssely Tha an each the present he hy twat Wo hin ‘pstmt on he Upper Eat Sie, ‘Sretig For some reso, the guy gate me the Tey npr ing a ay wie tix |e ne i an cd ‘move bene chor far with Mast im op Hintoded ene T sa very pte. tees walk he suet na way You never dif ou “Ay mane ie Do Tm, and ike to in Le Jace ino vt odo ane pt 0 Kw al (Cab Aad be sad, "Do yon have any ends of 350 fom te brows. A far tT ws comere ad the best of al mers. Twas young, and bd ot ‘nr, so Uva ving in Maat, even ugh ‘ommated tck o Brokat work ‘One of th ft things I id was jin Le Cb vii ate ie wa he te cab i yan tap the ost exclve—ke Sally at its eight 1 war loc on East Sh Set, ad ts adie aw meer?” T at tae iling td ‘aking, and Sally feo sad 10 me, lt ou what ou sound Ike ace young an, td ‘maybe wuld be god ote seme younger mem ter 50 wy dbe't you met me for 2 at SE IE | ec rates =a‘Te est ht we met for a eink. There was jst ne sal pce do ik an et ey ‘ning round MY os onthe ther hand, ied ‘fink, and be had troop lng 2 fend wo also ed dik Fe he nex Bu, we a re = ‘hey da I did, nt Sly id “Lise, feta, can help you ge home "an ey aid "No, Jes jt hve one mae ‘Now [it wast we oat Te a far wo tas les been rock, very aight and very sll, My tater would come home evey night a tre, hae is dae, rade newspapet, wach he news {nd tht war And Timo ch fw fck my father Tas ws a woul diferent wo Tremener Srondeig if evey sce penn Manan ‘asa big ner gud i hat ws be ae, Ts fing oe ig arama. ‘ly. abot ten, these guys Yad oough and 1 actly hd cary thom Rome. Too wets pase ‘ST ever bed othe preety eles im, aad be i vee emer who Ts. S020" hut go tags the whole ting all rer sn, ‘ek 021, oly this tine be dt ik ae mach, sad be apol 1 put me wp for menberip. He bl aly ce msn. He sal ht case Iwas Young fd god leaking, ani because some of the oct ‘tember ofthe ci wer mail Bau young ‘tones, be was word tT might be tempted oy {0 seal thir wiver He aed ie © promise that | ‘wold’ do. owl beleve what was Bearing. My marie % Phe Mor Maan 97 2 ch fa ok sy far Shes ly eve 1 my aer—they ecm celebrated ity years of Imarige Tats what Tew up wih ad R's {ny thing abot eating we "Any promise. Twas adit the ci, and ited ca wo be a eat move for me, ily {su proesonaly. Tmt 2 eof Seat youn Singe women, a 1 went oo anos evry ihe ‘Acta I never got fave with any a th vy Sesoay, These were Beal women, fa any of ‘hem could any 0a normal convertion, Some were vn, some were uy, some eel, ant ‘mny fe were phonies For example, 1 qucly ‘ound ut hat I soit take hese gi ck tomy garient,bease bythe sands what Thad was dnote an er i appears were ey ting: When finally get nave muri «very ‘evil woman, but a woman Who ae happens ea rock, at ike my moh and ter. ‘Daring ‘that same period, Las met tof sry sce, ery weal mea at Le Ch ad good ‘ine whe went ot arg, bu wa io worn {eu Tearing bow the New Yok ste opera ‘a meeting he sor of pope with whom deve ally work on deal 1 ko mat the sort of ely ‘ope, pray Earopeans and South Americas, ‘to cvetuly tought be mos expensive sparen ‘n Tromp Tower and Trump Plaza was a Le Cb that ise Ry Cab. 1 ew i by reputation an was ava sage 237 ‘who ws atid wo fight. One nigh found yellsing a te ale ext 0 en. We ganado, nd ‘re led fora wile, and Tchalage hi. ike Tee people. Tid hm, dont te were ‘hint ley Go dey’ dey ota of mang (eas, and every awe ty ve You 0, | fe soap loking Wo sel nnd of fh” He a 1 sgeed wh me ke that ad 50 ten Ts “mun tei ht way. rate fight han fl tecue a oe a ou Fld oes ou ge te ren oe of big ar coal ee oy was inte, bt he was sre wht he pit of all wat Fly bes," th jt on acne conversion” Ti, "No, i's ot acadei tal Is pps ‘a he goverment has Jot led suit agit out company and many ether, ander he cv at, ‘yg tt we darned wp ks neo (or tosing sevlopmens” T explained wo him that sent tattoos with my fer, talking 0 Inve in avery prio Wall Stef, an ak {hey adie wet sel That's xxl What most tsi do when the govemeeet chars thew with anything, bem fey us don't want bd po iy, even if hy believe they can beat a pony Ip. “The iden of sting dove me ey. The ft as ‘tat wed et Backs i Or Png ‘We waned nants who ween e sre woud py the ret who Wook! be tet and een wd good reigns al wo met ot geen of having Itcome at et four ines the en. 80 sa 0 Rey, "at do ou tik T shoal Jo?” ‘Ad be sid, My vew sl em © 301 tt eh he hing our an et hem rove at You Encinas, whch eet me very Silo, ‘in view of he ft dt you have lack tents in the alling” He ow ie, eo’ i ye hve ‘ry cigan to ret ena wh woul! be unde: Sible, whe o bck. and he governess ‘ve aight to ran your basins" "That's when T dei Roy Coke vat the sight eon o had he cate, Iwas ate tine, athe lve gd fight and he tok on my ease, He wot cour, an wea whi aad we og the orp Inthe co he goer cul’ pov ‘coe, and we cal up makings minor eeneat ‘wow wings gil Inte, we agreed 30 Soe ein pyran advertsing of vacances for 8 faved of tine i the local newsppe,An hat wt The ead of We mi “eared about Ry drag that period. He wat 1 gut lawyer, when be wasted 9 be He oul po loa case iol any ats Heh 2 phtogrape ‘memory and could api the fics fom is ea ‘Woon he was ped, he was bil a almost beable However he was nas pep, Eve ‘hen be sat so lan tat cold moines pet ‘ony with Unrate, be also be san ‘ead I would always qution Roy ery hsely Defore nour die. Ihe was pegred,F pah or osponement n't id mys about Ry. He was no Boy Scout He coed me th ed pat re than ro ikeof hs mda ie under Indctmes on ne care oF tot That mae me Tail 0 him, Roy ut tlle oe hing Dil you rely do al ht su?” He Veoked at me sd smog. "What the el yo Sink?” Be sid Tver aly Kae, "Whaler ele you coud ay about Ry, be was very teoph, Sometime [thnk tht oa ayy tpn Sra ie tet npr ting Ge woe For ample al Roy's ends Kaew be was gy and if ou at bi socal, he was tray hsm ‘ey pmeooking young man. Bot Roy never a out He jt did ike he iage. He fo tt 0 the average pen, ing gry wa mo sommes ‘vo being wip. Tat wa he stg be wed 10 poet se tliwst wea verbo! avd If {hee tgp cae wp Roy ws vey it oe 1 sek ot asst em. “Tough as be was, oy alvay had » oof eos, Tm pot enbarased 1 9) Twat one He was 8 {rly loyal gayi ws a mater of hone wt i — tod tecse be wa lio Yery Sma, he Was eat {17 bine on your se, YoU could coat o hin #9 {0 tba for yo, even if be pv diaped with our view and even defending you wast esa yt tet hig or hi. He wa aver oc compar that with al he hired of respect sie” gaye nto make career tof easing abt ‘har ncompromising nest but have tole 9 loyal. Tey tink sly aboot what's Best fr tem su dont ink tice about sing a fed a te Taek ifthe fed Becomes » probe. What ike snot shout Roy Cs wat hate woul do us th ppc. Roy was he so of guy eo’ be are 3 our spi bed oe fer everyone ef ba ‘Healy sting by yout he det 1h ay case, T got wo know a tof pope whee 1 ‘novo Masia, an gto Ko proper ts {i coud fi saying by a pb ie ‘Then, suey, in 1973 ings began tr Bd a Marian 1' nays se he me wl cf, bcs everyting ne in jets ad lea 0 dferet. Ben so, eer expect hing ges Ua hy did Iwas combina cts. Fret, She fea goverment anounced a isrtay sig sue, wach fy Ba Dn giving) ie babel parca in he iy. Ate sane tne, Inet ate boa wo Hs, afer bing 0 able fr 93 many yeas hat was easy to fp thy could move al, Then, to make ings wore, the wa po {4 intan, parley controcon cos, wk Seca we ven wen hee 0 inane oe ‘But the biggest peblom ty far wat with ‘be cy oe The y's ee was ig evel ht rd te mae everyone very nero Ft ft ne Jou ear pope ta bow thy aogier Jed to mre fear. Before ong New York was ering ‘fom ess of condense: People simply stopped tevin in hey. 1 watt an ervonment comtucive 1 new re eae development la he fit ie nah o 1973, ‘ey amed permis fo on 1,000 tow apr‘es and single fay homes in he five brah. aces about the block between Ceuta Pak West 1 te ft ibe momo 1974, tbe ner doped ‘hu Combos Avene a th Steet gh © 6000. a iw wore abut te fur of New Yo Cy 0, ens, yu i've ook ey fart sc ow tu en ay ep me p night 1'm usa a ely coll all ange. Even ce ogh se pis and Kany, I aw te c's ble as See, tke West th, thew were magic old ‘Bet oppaniy for. Because wp in Gens, tronntones only few stp away fn Cental Pak. Teetved, pret an noes! Sep, ht Man ‘Andon th sens, opel Cet Park Wet ed haan wae lvoe going 10 e the be pace © [Riveie Drive, thre were betifl lé bugs lvete eater of fe wer, Whatever wuts de ‘wah hoe apres and seca view. 1 wat ‘iy might be Bang ne oem, hee Was MO ny» mater of tine before people dicored he bute amy ind hat things had to ter wrod ae. ‘atin: Wine oder ey mt sing 1 take Now ‘ne dy, nthe summer of 1973, came sre 4 Yer pe? newspaper story abou the Pen Cena Rad, ‘One of the pice of property that bad always ‘hich was in the mide of mmive bnkewpey fucnned me wan he huge tacos! raya along —|—‘ling. This particular sy si tht he Pen C2 {te Hoon Rie begining a 9 Set nd een nutes ta ed » company beaded y 2 man aes fl he way up to Tand Suet Every tie 1 rove Vicor Pim o sell of th met of erro ‘ioe Wet Side Highway, ound myself dein Arnog the ast, aed ou, wee hse sbendoed ‘owt at could be bl re. He ake pei rds nthe West Sie, as well as more yard in be fe malas dat one hades of developed ‘West Tie. The del Vcr mode wid te Pen Src pope Marah sat peta, | CARE was ta ch ie is company mange Sod s bye for an at he ots pra the ‘Brit wa snter story to conser eying 9 develop fea sucha hae pee of propery whe he ky wa in te ‘ie of fc er |) Ti never tea of Vicor Pale, ut az othe a youcan cet be hu by buying |-——-Medielyhat ews someone T watt ow. I ‘pd osion aa lapse, Ate dine, s fot ll is repeenaves and sai, "Hl, my ame teva on the Wen Side were comer dan {8 Donald Trump, and Ike to boy the Site {ers ples ole, Tre mre wells sls om Set yrs" The singlet appoa fen te most fren ae se, and drag dels in vey par. ‘rember th New Wr Timer ig on ees of Think thy ad my directs andy entsad’ bat anything Yt, Bt wha a ave mathe lings oo afer ings ta people i = beter tn han mime woul have conse ein ‘wet omen Vice, a wegen Yay wel St frm te sar He wis «very soa, ne 8, fn Ian wo loked Ike + WASP. itl i bow as the os Suet ans were, hat he nel ‘asi woubl nd te cy was into, ta ‘rs probly cry tbe meres in he propery a SILT yu att boy something seo in Sorts let 6 convince he cle at what he's bt woh ey mach "The second ng ol! Vir wat bow fceibly urd twas going 10 be pobially wp soning tnproval fo ch a ig pee of endeveloped nd. mtd at hae comma Da wl ht ny ‘eclpment, a ha th proces of going before the (Gey Paming Comision un he Boul of Esme "The hed hig Fd and pobbl tbe most nr tact wast ll ay to Visor and ht people. ‘ld se tion my experince ty accomplish- ‘met soled I slé him on my energy and my ‘dni ‘Vitor tanks on people and he decided w ke sbocon me He ded up sogpesing hat develop ao nly he eeh Save yads Bt also the ars oo Wes ‘Sto Suet la tt 1 probly ovens myself iim hd a ther coe eas went sven Ye ‘at te tne, and T had sever Bale sy Manin, nor hal my fae Mh at Vicor Ie sm, | dont nk he ould ve jie going with ‘me if be bat teed our company wat De od [ert We hal a0 fomal mane for he company ‘when Tmt Vier, v0 I began w al te Tramp Orgininto, Somehow he wenden" mae ‘it ound mach bigpe. Few people new tha tbe ‘Thump Organization eperated ota «cool of ty fice on Avene Zn Brooklyn ‘The ter thing I promoted as eur rlaosip id poli, sach'ar Aba Beam, what Close mero New Yr in Nove of 1973, My ater dd oes 10 the tame Denweratc cab that ‘Abe Beane came tf, and they dil Know each her Le ll velop, oy ahead contd Imoay 10 Beane, an! other ple The spe fact 8 at comeing meney t pola ery ‘sandr nl aceped lor a New York Cay developer ‘We ir give any mre Beane da tof eer ovlops iT fc, often sored 10 me th, perhaps bcase we Knew Beane personally. be a= !Bet wea of sway avo! my appearance hat 1 eas doing any opel fv ‘ase spent mot ofh our ears when Bowe rs mor ying promote te West 34 Sette fora comenon cot wat y far the bat eon ‘ie mero, and we eventually pot nearly every bi. rane New You iy Buineuman bebid Sil, eae never came oti spp of the st wt {ew weeks before foie. Nor id be ever ge ir ofc approval was Ed Koch, ety heed in 1978, who fly che cr se for he convenecate No one, 5 fr ow, bs ever soe ‘to Domld Tiong sod Bd Kec are cose penal ens But hi ting well bea of thes. "hy buldng cove elon Vise fom he st ral, in lle, work for, her ‘ano be jt ante buyer Tha ws tei fr me For ctanple, we dew ap ageenens Bing me = ‘clive oan 10 pcs he 6 Steet and 30 Set yaar jot nosing sje 1 agp by de cout tung the Pe Crs bake Subject wo everthing except my having Ft ay ‘nome. The eas Cal ven aged 10 ey Aevelomet cos twas female in 2 wa the ‘Sir ying othe cout of the petal Dyer Sal hve to prt ito pepetv. Wha ods {aud deal ony was ery ile ine when to one waned bud anying, and hey wa Syne lies a tam, beled ve me ry with tie press When o war aed by» reporerfom ‘orrons why be chee Tun over ers be sid, “Tse properes were thing bat «Back be of mdtaie rik. We inervieed al ids of people ‘sho were ital em, one of who hod what Seemed Ite he Kf ve, tacking and magi ‘on tht would be messy, Uni thie Joan 5 ‘Tomp came akong. He’ aon trove foe Pinch century ae promoter He's larger th met “A ne pot when Iwas tying my last he oes bt i est pting nowhere «Be New Yok eae gy to ne of my cae fe, amp Bs gat ine af hs, bt here a he eck mort” remember being onged when I hea hts iat sek to ts oy for more thm ayer. Dat ooking tek, cn se he mar ig onal ave fe op in moe. Thad managed to make ons of fie fist projets happea, if Tha fly coo nce the yw cone my West 3h Smet site for Sp comenioe ce ao thm gon oe deep ‘rand Hat probaly be bck in Brooke td. calling rent had Te ing on the fat opet ‘On Jay 29, 1974, we anounced that the Tap Crzmiation ha vce opens to purchase th 0 ‘eterwt es fom te Fenn CoalWet 3 ‘Svat o West 72nd Stet, and West 0h Suet 1 ‘West 3th Suec—at cost of $62 mllon. Wid m9 money down. The sry ae the feat pg® of the New ok Tine. ‘My origina ide was build mile income hou ing om te ter rents at sem duly chp ‘tny—S110 tp $125 room—tet wee comers ‘oor high othe time planed ek e- {ng fromthe Mitel: Lama program, oa which {he cy proved low trea Imp ter gn {at abutments wo bide, The pope el been ini © eocourapemidilencome hosing "The mont before cur amount, Vir an ase of is people met with Abe Bee sound ‘im oo about eur development pls. Atough he‘wx cacurgng. rm he omc we wel Public be ‘eft late aj ponon inl or pla hal Beat ‘nse by cay ager, clog the Cl Pin ‘ng Commision, he Board of Estat, andthe {eet commumiy ows He was polician, nd be waned fo we which way te winds were Blowing eles be tok ind ‘No sone aT aaouncd my pls pally han caer br fer de rls sly cane oa of ‘woodwork. Sunt How, fr example 4c py we ere pres with ome Stet City owe Be pret a Broke, mae «blo $10 milion, ‘etage nncog and apvorals a al be Fest On the ae of tt Bid was a higher Tm the to a th Tm ery compe an ‘tudo neal aything win egal bord 0 win Sometines, pt of making 2 des ening your competion. In ths cae I Iuppenad wo geniey Ieloe te Sare bi wa eine a expat) would aver clos he dea atl wou at be tie sorely develop De ste ever if te dal igo Ghongh. The fact at anyone can ba eyeing, proulely wiee thre ae al sor of on Sige. Te sme thing cole sai wb ey tid, eet that by ten pt in eoough time and cto have conaed Pie's pope Ga wat ‘ey seo snl ery come. Tm he ead, I managed wo convince Pamir tat i sna morse to ek with nS lon id han (oie » er on Sure ‘Te hon et et ha a yar fer I enone ny pl fo the toad beat my competion the ‘Soom sumtin a New Yo iy med fsb 1 mich wore. In Ferry 1973, the Uta Developmen Compo tio, he st grcy tt sold bonds Same pbc ouing, defied on tore tan $100 are of ‘epee nt bond | a Soper 1975, Beane ananced ht bese the fl rs, the cy as stenting is own faa finch comaraction of virally al wow ig. Ta Noveaber 1975 he sate noua it 10, es sasesing any fnneing of wer and mie Itcome Rowing fr the next five yearning 8‘en pnt, bt pope net me fl he nme ‘ru actly hero $30 main "Tem, ja went ll the ty sald It wou Sane ny ne Posing, Beane tnouncd ate ey san ao feng farther spendiag on velop ‘met of he 14s Soet locaton Timed ied ‘Semel HLindeabn, a wleed atoey who He ‘in! is zig, ad who ha Bon wecing wi ten onthe uh Suse te “The ier pron il top wit he coven ceoter # ighly dened woman sed Lise ‘Sentie, who bad exiaonnarypsicl comec™ ‘one Loe Ha ten the fence ec for Hog (Cay wea han fr pve in 174 She was ls ‘wee of he ste Democrat pay. A fins ‘weve for me for raccaly m0 py Late she ‘me am ereave i our company ‘teen ar nar nembling tam ume my se, theca ate were aching ei Own ae ‘et pt te convention contr n Bary Put C39, ‘gp the Wort Trae Coin southern Mast {ann my opinion, bt iy —Wex th Set at ine Park were tele chocer Maing ce su eoter mater. [ watad wage Ge bate bie, bt was akaows HL was ging tract tent fo my se and win spp fo Thad ‘ve my poi decid 0 call my ft news conferece, Lovie tnd Howard Rubenstein x tajor New Yok pub ‘tos excite, beled act support rn sere wel peopl, inceding Mand Oba, Jenty eae ft ste sete, These Kee, Ge liber goa who war very power in New ‘Yuk polis. Keel delivers las he the resco," Pciag th em cometon cmt fn Baer Ps” esl" ke ping» nhc in greyed" For our pat, we pu op 2 Bape ‘ner that aid Miele oe 34h Stet and T sound, before ton of pes, hat cul ud ‘3y covretion centr for S110 milion at at 5150 millon esa he ity had xin wou onto bl st Wet th See. Not singly, hat rsd some eyerows and even gt sme ateon In he pes. Ba ee wt ‘carly an approving pep frm the polis. T ‘Score forthe fat tine Wr atthe lt otc ot cae to mach wa ings on tei ome. ‘a peomong my she, he ft hing I poimed ot verve I weat ws how ixprat iwas bil a ‘roventon comer At pple were syng at he ‘at solo, ight fhe ly cl cs, west sop the id ogee, "Tome th ws clase shrines, For exam- ies in the face of «aes op, most compa ok feck on thei wverising bode But in fc, Jou tot aiveting the moa when pope ae buyin sel, thas what 1 sid about 8 coeventoa cet Bing ow, Tarun was etc! ering the c's nage and, tint pug erm ny back on ck. lo ld enone who woul sea Now get myse ma, and bow tesile esters wer. 1 Pita cot at of 440 Seat he convention cee ‘rule be ballon plaomns over the wate, Shc would be soe cos. moe jeblmatc, and ‘Semacly more tne coming. 1 sid ht heh Set ste was to sl, hat ete wa po Tom 10 expand iad du eae war on tbe watery" ‘ave 1 ross under te crumbling West ie Higheny to pt to Pal, mae ig da ot of te fact that on need smn cal onal pe ‘tt bull on teh Suet tke A nomic Fermi wich | came an expert aboot YY gh Ite federal apyroal rete t bail o een ‘tater, and peng rue nat of Congest “Tosa eh ey ee ren mein neta the sect ‘Daten tp of ect pe eat bow ree ‘sm fre mow, Dow fa en had eter ‘net and how ieovene pb emporio ‘Se cenod swe sly which comodo a Tring convention cone a Bary Pt weld ‘eis major eoscucton of te West Se High {1 leding 1 a wel a he aon of es 22000 ew bt roms ‘Mon ofl 1 ed soot what «wonder cs ti don Wet th Sues. wc he ight ie fe glen) the etm sec eat ‘ly scene cnr to bony ad bones fh ie aterm sites. contin make the cse ‘atthe terete blk mare gly yt, rbot dponessing ay temas. Als Dect By se was 50 tg, here was plenty of om for expan Sion inthe ize When + prop of grt ns in cls tpt by City Countnas Robt Wager i ite sy tat aad or see De, manag {0 gu old of I an imei ered the Wagner Report. I mesa wast iba ‘Before lng, had everyting pig forme except the suport of few stole hey people Abe ‘Beane asa the top of he st Once he ge 9p ‘Wes 4th Suet, etme gt ebnd Baty Pak od 0 mater bow many gel arguments T came op wih foray tl, he woul Dede. Ano elo pp ‘twat Kb Zocor depuy mayor une Beane He began ping wound wen bad-nouhing te. ‘The reaon I'm convinced, wast he i want sit that he'd wasted several yer of it ie and filles of doi of pac omy 0 eson at never ade sense inthe ft pce. Ad tha’ exc ‘ht Ti pblicy. Tse ln of eg sl ‘erving and py and slo cer ings, He | prety el wp. The tle recived lt of media ‘tenon, and imately. thik, mas pod for my ‘se, I ecame ast acter way promote my ses many advantages Teen, we won by wearing eveyone ce down. We ever ge up an he opositon lowly began smaitaway. In 1977 Beane’ apposed yet ater mite 1 sy the aerate er, and oe ‘led hate di ave te en se On ft ai, Beane fly gave whe soporte 20irae —jt fre leaving ice a te end of he me Jas of 1978, Ba Kosh ok ovr as mayor sad deed 1 do bs ns. figured we wee eek 0 aque oe But ings move ast ad ce gin ar cane out aad. Fly in Api 1975, (cy ad ate announced ht hey od decided 10 cate he 3th Stet ssn blld the convention (Sater ere. K wat aviary forme, but we 5) ‘teat tn foc, Foal eine Vive, Teed ch es than | erved—end ower cogs pty he et wml "Army da wi he Fone Cel wa sac, 1 ‘spit wal compensation of a 83,000 tse (ne $12 milion pie for the ae that the ty ‘eited with oan Comal In he eo Tle {ergo my fo alogeti, if te cy would age © ‘une te coneton come at my fly. ve bes ‘ind for tying to make that eae, bt ve ‘polis. There woud be anew cementin cee 12 New Yok today ft had’ ee fr he Trap Mare inpetant tcty wou hve eve a forte by ling te aid te cme, which very och rae 0 0. Tea, Bt Koch dei by sme Tope coal eer understand, at eee heed mage the mle of the propery, was conf for few be he bur well. Evenly feed te ty dehy, ely, was elo fo me. TdT would tring te ene ob infor leas dan $200 ‘ioe, and ht thre wee any overs 8 py for tem myst You wo id may bide wing 10 put themselves onthe te ht wa. Testead, te iy aad ste deed to vere the {pba te sont ws ptape he most homesdons ‘Scestction delays and cst veranen he iy of the bul buses. Amann Rican Kaban ‘as putin charge of he Uta Development Capes ‘on, ad limtely war bib to creme he coment cet rot. Rich Katy tee ‘aan, tut be had vio of bing the ext Rober ‘Moss. mt cle hat he fate experience the tet ‘Oe ofthe fit hn Khan i was hie FM eas his eect LM. Pe saan with ee reputation, bu in my view be ten cae he most ‘expensive slain to problens—od vty ‘comolie. Immediately, Pt dedod to deign 8 ‘ose fame fore aera sta! sen tat 2h) poesional babe wil wll yout oe of ‘net dil balan see ele 1 oat overan. Tis 6 patcally exe wien you're sing ih so of ge ce ey de "rm th ery st, Tsk Kahan ad ipo tht ic nase ball a uing page sma How can you ne a conten eater watt pring? ‘They tld eta 8 gage wold hl op ec aviwamentampact prov. “Look,” 1 sat ‘Be, "owe apple re nly sin o be fought {0 pt ner, ado the very Test ou shal begin ‘sepa lig fo the ape nv. 50 Yo cna eastsat te proces" They ignored me, md now they ‘veo ping, and m0 prompt bling ‘te rear fre "Techie of who pat he entace was egy ‘cvsidered, I you put he eance the wet, te tole camer fice he Hudson Rive, which 0 ‘esi view.ftead, hy bul he etc on te suse sie of the bulligficing the alle 00 ent Avenue "As T watched all oe mistakes ting mae, 1 became very angry an feud In 1983, when i ‘re lar he conse of Se cnveson cet ‘Tt areiy acer of delays abd ovens I we ‘emer 0 ‘Wiliam Sere, who thon bd enced ‘Rr Kat speiet of be Urban Development Coren ort eon tne ered, his te fo tafe al tones the projet 2 ate at ‘oul et completed ily and wit fre cost My ote was refsod—and «dase evel ‘ured no» casuope. By Be tine te coment ene was uly sed last yar, was for years ‘etn code anda leat $50 milion over bud tt. When ou ad mre —the cya ont fr all Shoe yom of conmraton te tal at was poke ‘iy 81 bin, er $70 mion over bade. "Te cootrcion was sere Sagas, nl be swore bane po oe id fs tow it When ‘navi mca opening oy cere in 986, Tete. What hapened te convention eer ‘te the iy and tae wok et ee of popeGRAND HOTEL Reviving 42nd Street nse ne rico when Ia ying mike pen wih he two West Sie pris, I go more and more Henly ih ‘ir Pra his ple. One day. iin 1974, 1am in Vidor’ oie, and 1 sid im, al | eine, Lise, nowt ot th opsons on te {wo yar, what eer popes des the Pea Cetin ‘orm tat ica bey forming?” | "Asa mater of fac,” sid Vi, we have we | rls yu mist be ines in "6 upped tat the Pean Cental owned several | ld tae itn fe blk of each oer in 1tow: the Bmore, the Bly, he Roose, a he {Commodi Te in he wee a east merely ‘sccef, whch mess buying ea was ely 1 ‘om more money tas I wae wo send. The only ‘nein real woe was the Comore, which hat {eee lning ome td detain o property ee for years "Ae ted out, dat was he best news Vir onl hee iene I eked ery hy tha the ‘Commodi inh beat of New York a 2nd See ‘Pak Ae, next 9 Goad Cental Sto, Had ‘ctl te et oem fy of he Four hs Til erie waling over ook at be Com- bona hy. nd the aby was vo dingy it eked ikea welt oud. There was oe f toe eazy ea ‘st operating oe rund foo wi bunch of re wp sets om ier ide and derelict. ‘yg fe dooraye, To mos peopl, wuld have et # very doping sone. ‘tw aprecie he selsomthing competes art caght my eye Has about ine 1 he fieming, andthe were thosands of welded Comet ed Wetter commie Note en tte eet fen Gran Cena Terminal th sab trey aatios below. The iy was onthe verge of ep bt wat sav was 9 sper loewion Unies he iy rallye, mons of at ople ete going © Koeppasing by this oan ery dy The pole was the Bt, he gh Troe. I could tan te Comme, 1s fare roa ent. Coveicce sone woul sare Tweat back sn tld Visor 1 was ited in ‘aking 4 deal forte Commodore. He wat ese, ease everyone ee comidered i fur ‘reat tte andi had a chance woke 1a fortis ge own Bel Ate eed tote I war sero, Ltr, he ald arp at 1s inl recon tomy se war tha "yng te Commodore st tine whe even te Cher Bi {ng i i octet ike fighting for sat oe Tai" Tea ee pote, at al ecogind ‘down. coalé envision ge home ran, bat | ‘so Ene tha fang could bury te om the very ‘St ay T wnt 6 work on the de ted kp my ‘4 19 an abel minimom, and inact ‘seceded. But athe moth went by. he del fe ‘ime mov and mor compa and iu hye lavesing more tine snd mre ener an th es ‘oe for esos ula meme. col aka for only 0 loa. Evel ba 00 to the rl et communi, he pres, omy fart oul eve the goods “Toe Commodore deal wat Dsl #jugling a, at 2 mtch cir one than | eiglyinagie. thir best ttt bythe hot, whe wing rad,or ong aT ol ating vay cash A the tae tine, I al 0 coving an expend sel ‘perator to come Sn with ie eer cual Bel ‘a Enowing hat ach a partes wool pve me mae ‘ree wi the aks hen {wet Sok fi Ine. And even peat partner wot enough 1 a0 al oy petade yon ta twas in it meres gi meatal unprecedented tx tek ‘Tat svg, Kno, Would make Har ease 8 roveto he aks he bs or yee ade Scmo—at tine whe hey were ote to ed money en or poets in ocd spiro “Te fy hg tha he As desperate ccm ‘ences came my beget weapon. Wit ali onl gue tT van the onl eveper and wh ‘roid ven coms buying vert in eying ‘ighboond ina dying cy. With he bank, Temi [init erin fiance ew develop ‘iets sway to ep pet the iy tack ont fet, ‘At wy fins, oad pty argue a intern or ahapeta aement, ibe eto cee ‘onde of sw conscton and service jobs. help ‘sve neiporond, and ln) sre wih the ‘Sy any pit the tl ered, nthe ne fl of 1774, 1 began aking sexosly th Pai about deal. Eight nine months “eto, te oon Comrise $2 allon oo 8 ‘ometn of te Comoe at wa the ett ‘toppyng a conto wan to car ats jot te in Isr accent Evea afr th enon, te Pe Cenal was pong » huge ss for 197, and hat amd: eg nd Se 18 it even lecide he $6 sli tat the at lead cwed in ack tus. The Commodore wat 8 ‘ele cath denon a beep compar. 1 shot tine we came op wth te srt fers da Insp rms, moa ke a op 1 archase he ola pe S10 milion, sj ny ting able wo ge wr sbsenet sncing, ond fete! cpny pied ner wor my Poting the entte Gal tpeer befre T made te ‘cine. Io te eatine, T won put down ® towefninble $250,000 fer an exasive opeen. Tee ‘re tone probe I waa too eager ek et ren $250.00 on del ht wa al very sch 8 Tongs. 197%, $280,000 was s ge wn of tmoey forme. $0 T salle. Coats were re 9p ‘ath yes find ply feel pits {0 gue tack nt forth oer ee mening, [went {0 work by ep the st ofthe deal ogee ‘What ned st [dei wa ely fete esign—cne that woul et people eae. It sp ‘meting with « young, taebed acest mare! Det ‘Sea, We met ot Mawel’ Plan oe «Fay nip td ih ay Iie Des case. When kd im wha Tha in mid, be inmedily ard aking tees on one of he meas "The key tig Told De, was re somthing ht ooked abil bad was convinced tt Inf he reason the Commodore wus dying wat be use took 50 glory ad dak ad gy My ‘en, from tbe being, was 10 build « sew i iecy over he cree, cd be descowomicly, or la. I wae sek, cotego- tay ook, something with spare and excenet a ‘ald mike people op and uke oie. And twas ‘vou to ett Der ender wha ad "Ate wea, [ak De nd wot ead back 10 sy aprment, the ny sai Twos sil Iivig inc. ‘Ted fowae, ad Uke Rn what Be ought about ny fir, Some people woul jst have ad, “aac, pret,” bt De it dota. "Tee's too ach of” he ed, a Me sed moving ferore wand, ant even posed ser pees Sat {nt the bly’ Whe he ished, he'd mage 6 tae te aparnent ok mach ise, whch 1 heed. he De ad ih come up vith skates ‘tat we col en ur pees to he iy and 1 teks ao ld hist eke ape tat wed ‘ect tage um on te wing. A pos ooking ‘resentation goes log way. By the ing of 1995, we were prety far non on 1 dig. Then one evening i be mile of A Der ele tll me hate Bon fr fmt chico fe be weed for, Kan & Jacobs Hatt, Obst & Kasam. Threw be hat ten geting lg wih is bones. Ae tre tine, (hit wt to Bld op the project. teed the ‘ssc and th resp of «fm doa jo his Se nd Ligue ws ping tobe awhile bone Deriide anew anoint he ore en ee toe vey quekly wit 8 frm named Gran & Framers. nd Twas ale (© ae the on 10 5) sdrnape The Obata group desperately waned 10 nt Ho Reig a e+ 128 zp the jb, and 0, of oune, dD, Te compet tion pre me an opporualy 1 septate & lwer ‘ache fe, which Ti. In he Ed wet ih ‘eran pid i very ode fe Tl tt ding this jo wold py of ig ine en "Tis {is going fo be a monument project" Tal. “I's ping 1 make you ino sar” Dee ware’ led ‘Bout his fe, bt ner be aid tha Fen ght ‘Sout te impos hat ing he ytd saseeaty ‘Tromp Towee—nd 00s cae. ating this se period, erly 1975, 1 began to look fra peat fr be hw Th a wa a ‘new ating state el bins. Pve ed lot since the, and xy Tope my own tele. Bat he tine, Is cly twenty seven ear od and Day even sept ina tel Nona ws ying ‘bay this monster bang, 150,00 uae ft, tnd proposing to ee «10.00 hale rg (St ice the comtaton ofthe New York Hen ‘ety five yeas ear I eemot cer tht ede ‘rerperinced operat. fgued pba ba 10 be one of te lage chin, I wt telly wren. The chal may tbe Sry cing, at ey <> Bie you ness non racine Sse, ‘ofertas, an be management expr ‘rom the sat, Hyat was at the tp of my i tion seemed ite bcs and le, Shere sit excte me for mich he sane ‘sco, tad oly Ts and Rama tan. did't hve so lat. ied the Hyat image. Thee Sle Ba ‘nor fot, igh and ca ate ploy. adta was wat 1a a ind acct for te Commarea hn, yt war very og ot Scovenon, which 1 oh could bes hig baie for bot inte Ornd Cena 1 eo Hed HyatBcase Thought might have moe leverage wih th a aking sl Chin ‘ators Serato sen ha hot in New Yok Gy. nd hey wae neem han Bll ae ‘eo, prcalty ith he yin damp Hy nthe oer had, was ery sacl in ter es es hat no Hsp presence In New Yor Ci, tnd beady od oe ery Daly Inne 1974 Tele pe preset of Hye a satel Hugo M. Pind, ead me anand wo met Tas’ erly ingresed wi Skip Pend bt i ‘ured out at [ws Ret abot yas dese for 8 Now Vik apt nd we begun © dca» pre ship onthe Cosmos. atypia, mae © fentaive da wih hn fall of eomtngecis 1 was ery happy and vey prod of mp Then eo Jays (Ser Up all sd Skip No, Tm sry, We (othe dea at way” This became «pate. ‘We npoinenew tm, shake hands, fe days ‘told po by and the deal would suey be of ean Fin, guy 1 become Sendly wi at Hiya, # highlew excewve, led." The 1 ‘make a rages,” Be said ik ou shoul ait Sy Pern ds wi en ety” Tr bay har of Potke, wich ells you some ‘ag sboat how young Las atthe time Thaw. ‘ely atthe Pacer famly omned «conroing no Hot Roig e+ 2 Inet in Hat, bat tat was soot a My Hy ‘end expand that Prat sa the gy wo rely ‘ante company. Sadly deed one why ‘eae Kept coming wpa: if you ging make ‘eal of any signa, you hve 1 g 0 te tp Tt comer downto the fat ht everyone tdereth the top gay las company sj an employee. An ‘poy nt going to fp fr you del He's Fong for his ary increase ob Chrismas bo sand the la thigh aso apc bon, So hell present your case with m0 real opis. To ou, he might be very enh, bot Be owe ei ay, Line, 2 gy same Tap tet New “ork want ma uc and ch dea andere are {he pos and con, wd wht do You vant a” It tur ot his bs kes he Hes, be'lKepeppeting You. But he boss dum ks, the rae wil {Sy "es, Lape, bat Tamed rset Jo By now tte ety pig of 1973, and eae Say Pitch, ad be seed happy 1 bear em me at was bed in Chicago, but Picker me be as coming 10 New Yor te next week abd we sould met. Cond pick him wp atte apr? 1 (i go around none te tine 0 pc him pn ny cantor ws Yr ot Guy, and twas extemelyeocomerae te ca I ‘beter iy, aug, be did’ bow 1 eae ht en tat Jay svg foe when Ht comes to ins. He can be fn ving when he’ lated at set e's oh and sharp, abe pas ery hve {0 eves Fortuny had 9 ble with at 50se gt along prety wll. Te te hing stow Jy i hare doen't och st people in bss, which ic the way Tend tobe We mee wary ofeach er, tut ii tee esas a mata resect fom he st "We managed okt dea in shot time: We aged to be egal pares. bald the bel and ‘at would nage ene was all More noe {an han coming oa tema agement was the ct ‘Strom hen I wa ale elect wih Jy ‘then aos ene Tos dy though eve ur dsapermens, Oe patesip i soa bee Shy and can ik night to one aot. “Os May 4, 1575, we a pipes conference ad ecu th we'd aged sates 1 pr hue go nl uly ete be Comodo sun ‘ee co get fmcing and wx semen The at Sucement ofthe parmesip wis Hyat, coupled ‘eth Des eli dings wn gh constr oat esas, aly gave me some anemenion t ‘wing tetas By ten ad hed Hey Pec, 2 el ete broker witha special expertise ne Ing, Teeter we went cllng Henry Pesce was he bed of 2 fm called Pea, Mayr, tnd Gre, nd be was ata gy He wt ta sheets bt be hd or eer hn ost ten-year, so be wes taco a sweat {or fang foro. Hie pete Bled, a 0 hs age. We'd goin opt fo ne se ery enseratve bathe. mont f hor had never ea ‘f Dona Tp. many ways Twas mach more Ceeseratve tas Henry bt remade baer and eign oe tose me alongside thi whee py with whom ‘they een dealing fever ‘ur pitch was very much te oe made wien 1 {iat met Visor Pl T wold lk aboot be peat ‘Trmp Orgaiaon an ll wed doe, 1 weak ph very hare fc tht we tome on eps, bcase knew th the aks wae saree ‘death of cost oven, hich can il even poo! ‘ean. We wou show thee tues davigs td sea modes of his ag letming ew bot T pane {bul We wold tat sbxt how te jb wes going {© um he meighborond oun, bow wold cate ‘dean of jobs. We woul go on a on aca the ‘ante, ical Hye Compa and wed eve enon tbe ret x abet we pe opt re they. Thi ht polt would aly seiner ot, tot unfrnely we wee someting of 8 ‘Cics22. Unit we had or aacing In plc, the iy wast intrested serowly casing ta tutemet, And woot tx abit, the bans ‘eet very ited king abou inacng "ently we delded to tke ew ick Retcng ‘ta te petve approach wan't working, we ed © ‘hy 10 tec gull nd thf and the sete of 3x won't invest nt ow can you ext rn ‘van? I you lead milo of dla Tid Work ‘Stones nd eeu shoppg mall mgs, dn ‘you aio owe tome oiigaton your own?Gand No: eign oe +34 sbucmeot—on te auumpon tere iT gt eat eck, the Deak ight oll be sfc. fe 2 fy wo, 8 wa he igh staes poker gane rs mndy fo cn to New Yar, bt he wee no wey ‘re coal fr pt wp mos tobi now bl ‘es he cy give me tome ele os propery ee, ‘The cis economic development pone aged fo(te ows ses valve a8 of the tine we were ing ot Ge “The wikearangenet was bo © approval by ‘he cays Bow of Estate, wich et conser foc the fat tine la le Dosen 1975. A weak tefore the meng, I wet fo Vitae Pai and ‘plained the i he wasted the chy 10 eke cor ‘hme sey, we had beter mae i er at {he Commodore ws in deep tule and hat igh ‘ue serive much longer He aged wih me. On December 12, Plmiert snonced tht be Pen Ca ‘bad lo anther $1.2 milion onthe Conmods> ‘ding 97S, war acing wee owes for 1976, ‘etiam ited o cle he el penny 1 a tan De 30,196 "Teo apt Ie, fe wat snort roncemen, whch Th endciaed, Pornas Ar {eciner, «company tht ha pent he pro Jers ‘ying to get fing for bape new bel oss {en i Ties Sure, reveled tht kes I ‘te project tecane It bad been male to ge Bk ‘appr In «wy hat was bd for me, becuse 1 tented ll he evince Tel pt at inveting is New York mae some, Os the oer and, in dea ‘rth ey cold pont the Pore fico les prof athe only cance tad get fms ‘ws ey ge me my fa same "acy fo 1976 he Board of Exist decid 1 wich te sree of ie at aber propre teal f my sling the tl othe cy and ten ‘eng tha, auld he eda! and: eign Soe +18 sts Uta Development Capron. The eons ‘ere echnical ut atl the change was aaa ‘1st me. Uae they the UDC ha he porerBring me Wo rich 4 dea. The leat of the tx arent war aly pet of [ion rien ml, ‘here soul be » cap onthe pris Ted wid the ey. Also, Kf ny manu reat was going 1 be ivan 0 th fll propery anetent a of 1974 hen hat mumbo shoul test be alas, so at col ae nto accoont he pesy that ‘el ee valor end aenemet—aght te vet te yeas TFT een he cy ficial in ra of epcting ‘ith me, Tig hve mide ne some snes ut while oer bts owners were gets ng, ‘tone of the made an akon of fort (Commodore Admitely, mow eveyone auumed had next pon on he popry—ant biped ‘tec iat dpe at. Seven mon et «hy ficial had egos that Xpend log a ‘py of my epstion geen wt te Peon Cetra. (Gob it war sion oly by te, ond nt te ‘ald, ecm hal yt op own my $250, 00. [No oe een noted at lamer two yer I, ‘when «pre ing us on the deal cad he ‘Sy ad ned ose the pial ager “Two wooks oe he Boar of Extmae watched tle oth eto vow oy ple, on er ‘eels fly was ae or be Commer ear ‘os cmpy eat wae anc of wee ol int might If the ity oud get ie tthe Commodae, tee pope sid they'd be wilig ty pt op «comple of sion does foward ‘oad, She all fis wih he ty, ad forgo & ant Serge + 18 ap, Boome wi a halk fer fom 8 gut Sonable prop, hin scalp my me Tae Int ng tbe Cmaoe ended was a coon me esr by +t te ae cpr “Te cinta, I'm conned, came foe Plmi nd Pean Cena. The one tig tht abody waned ‘wat tse Comaaone nt own ed ed (On May 12, amie araounced hat he Pen Conta ‘wu going coe te Commodore permanently nx nye enacy oe dey before te Bod of Esti ‘nd scetled, fore four ine, atom a hx Ines es alld eons ‘bent preare ucteTea' uy Tapp) st ‘be tng, bth fact wat tl he Po Col Dt Teva Sx ont err Is plant hse be el (yanmar in the metine,Seapecy had Sopp fom 46 percent be povous yur 33 peel, More, ses fre al year operation fn 1976 ver poe a $4.6 lca ‘On My 19, all the ea popes cared hn page series att telat tems moving ot of he Com ‘aod, the bnateds of eaployees who wee Do ooking or work, an th dead hat a shops: ‘se fing nation of bordel. The Street te, On My 20 Boar of Exit vot warimoaty—8 10 Oo give me ‘he fall abutment program Td sought. Over te cure of th ory Year ht stent wl se me ten of milione of Solas. The be wa ae a Whitewer my cites may have el «New York336 + TRUMP: THE ART OF THE DEAL Times editorial ten days later made my case better than could have. ‘The alternative," said the editorial, ‘is the Commodore boarded up and in tax arrears. Beyond the tax loss, this would be a visual wound and a serious depressant for one of the city's prime areas.”” But incredibly, getting the tax abatement still didn't convince the banks we had a viable enterprise. When you look back, it seems almost hard to believe that the ‘banks could doubt our numbers. What it shows you is how bad things were. In 1974, the Commodore was charging an average of $20.80 a night for a room, and as long as occupancy remained above 40 percent, the hotel nearly broke even. In our entirely new hotel, we ‘Projected charging an average of $48 a night for our rooms, with an average occupancy rate of 60 percent. ‘Those were hardly great numbers, but the banks insisted ‘we were being t00 optimistic. As it tumed out, by the time we opened our doors in September 1980, the city hhad tumed around, and we were able to charge $115 for & single room, with an average occupancy of more than 80 percent. By July 1987, we'd raised the room rate to $175, and now we average almost 90 percent ‘occupancy. ~ In the end, we got our financing from two institu- which, in addition to its other businesses, owns a lot of real estate. George Peacock, the head of Equitable Grand Hotel: Reviving 42nd Street + 137 happened to have its headquarters right across the street from the Commodore and agreed to lend $45 million. Their motivation was practical: they didn’t ‘want to see their own neighborhood go to hell. T could have saved millions and millions of dollars just by refurbishing the old Commodore ratber than creating a brand-new building. Indeed, almost every- ‘one fought against my spending the extra money on & ‘major renovation. From the day we went public with ‘our plans to cover the Commodore's brick facade with ‘an entirely new curtain wall of highly reflective glass, critics and preservationists were furious. They were ‘outraged that I wasn’t making some attempt to fit in with the architecture in the rest of the neighborhood— the classical look of Grand Central Station and the ‘ornamented limestone-and-brick office buildings up ‘and down the block. In my view, staying with that look would have been suicide. I said to these critics, ‘‘Hey, fellas, do me a favor and don’t tell me about these great monuments, because the Chrysler Building is in foreclosure, the neighborhood is a disaster, and it's obvious some- thing’s not working. If you think I'm going to leave the facade of the old Commodore the way it is, you're crazy. There's n0 way.”” It's strange how things can turn around. Many of the same critics and preservationists who hated the original concept of my building now love it. What they discovered is that by choosing this highly reflec- five glass, I've created four walls of mirrors. Now when you go across 42nd Street or go over thePa Aveo rap and lok up ste Grind ya. Yor te te weflocn of Grant Coal Tein, th {Gry Baldng. and al he other ania, wich rie you might ot have note at al "Te ther ew skement tat ad» dame fet vas the bby. Most el nisin New Yo ae (il and wexcing waren 0 make ore 2 ‘vet «pace people wanted 1 mist. We che iutuow brown priso marl fr the Boor. We balk 8 170 forgienclowed restaurat pcbed cot et 4nd Se, hich 0 one eve doe before Tm omnes he Comma he itvar—old and dll and mondscrge— wold tae ‘uly 0 pat, ad wou be dng he ‘esis ts dig oy. "The Grand Hat Opn September 1980, ad it es it fom te ist ey. Gros operating profits ‘ow exceed $30 milion » Year Hya's jo) was © tatnage be ot, omy le was exently oe: Bat {he fat is al had 30 peat eet and Tot ty the hnd-f ype. That cated sone problems eat Tw end onr one of my exces, more often my wile jut ose Bow hinge were tise. aod yt wan’ app abou tt. One dey T (pts al fm de heal ofall be Hy Hol, Fasck Foley, and he ak, “Donald, ne hive oie. The manager ofthe hotel i ping, esi your fe comes ty a he le at pe ‘ortr ofthe abby a call ver 8 port lea {op Or sel se # doorman fn fons thas ot cmt oe: eg nd Se 29 reed, and se in to get eae. Une ‘ey, my mse happens obey mb has 1 pblem with woe 1 bart of wih Bat i is tee, b's roi «bel wh 1,500 employes, tnd tr's got be « chan of command or ce esis he is jst doen't work.” ‘So Tei to Pt." anderand wha your alg. and Tage with Jou ta 2a ple, Das longs Town fy pect of te bing, Tm 20 ing to wa pan mate Bbeve everyting fie Ati” Pat pase we mect he lowing week. 1 ‘rated wo work his oat trom Ike Pa, and ‘eesti and Tin he ea extaodiry ete Ure, Pa hs coe of tose grea rsh pais, He wale ops the Hyun Repeny in Wishing, D.C. or Wet Pal Bench, Fer, and el now crys mame, he'll remember i aie, et ate ce tel the pore b's ding a Bab 527 ato tthe guard and the tai By time be Jeaes an oar iar, everjow fet opie, ke theta fet al ‘So mt wih Ft and he sad, "ve eid what 10 9.1m ging hangs manage. 'm ping et in oe of my test guys. He's Baste Bare. ie Sour wife. He's ao very flexi, and ey st ‘long en. Tat wy he can eae ima a 10 yore tbe want, an evenone wil he hay Sareea Pat made he wich, sd then his em ‘mange i sonehing Winn He bea bot Ss vth va He'd al sever Ses a week nd ‘ed ay, "Donald, we want your arom w easethe wae on the foneenth Soe or “We want ‘sind s new mem in one of he restart” of “We ue thinking of swing 1 pew ln sevice” Tey ds nie al of he manage ‘eaten. The gy wet aon of is wy {clic our oles td evolve en the bel tat finaly Ts, “Leave me le, whatver Jo wn, jst dnt me.” What he wa the erect ploy, bane be got win he wanted ot by Feng by ing pote et ie sed ico, As ines 8 our pater has ted ot 1 te, ie wat on wml cla he deal ht ink fy be even evalu than my al ewnentip of tte Gand Hyat i's someting clled ao exch ‘vent, tod is efit 0 Pemaneny petit Hyatt baling competing owls In he five ‘ere of New Yor witout my person fst ido ete covenant fom By Prt he time we mace our dea, bt be refed. Jay 8 sat gx. and be was about else etre xpanon a ote chin noe of gps ces in th word We finally got othe cling, and jt efore weal st down, Ie alone witha exes om bak poten te was aber sd ray vette bank wanking, and at ‘me way 1 fate rote San ight be ais oma rte covets tht Hye cou’ how op 4 ssond fel two years Ise, ight down the Se. The banker saw the implications immediately He worm no there where the Hye pope were siting, at be si, “Hey fle. wee ping =p tex of mites of dlrs, which aot of mney, ant ‘reve ot ging to make his foan nts we Bet 8 ent fom Hy saying ou won" open wp ay ‘ter la a Now Yok Twa king che, Deca igh then a ere tte whole Ghaciag cold ave fen tough. But ‘what Ta ong fo me was at uy Ptr was Ge cong. The execute represen Hy ted {0 mach Jy, but ited out he was of in Nepal, ‘woot bing and be cou’ Be eched. Mer ile, the tak gave Hyat one oor t make & ‘ison, tat was he ed of the ann, While Ste wee ing, Tre up coven jc 1s ect sil tat Hy can't open any competing Tuts nthe New York ae, lctadng te vo al ‘oes. The oly exception i he right fo bud one Salty hoswhich Ido elve wold be ‘conomicly feasible anyway. And before te bor ‘sop they aged sgn he document writen, ow tive i my wil «cine dectiag de ‘importance of that recive Snes, jot 68 Be hance that one of ty hes happens ot be ta Sharp. What don't want fer I'm pe, for ome tice, smoot ern frm at comet oe of my it andy, "Lien, you wot mid wee p+ ite neoconptve hel at Kenney Aiur, Weald yu” The singe fact tht Hy wool ove {0 bald mor hts By meaning the A yes rm, Lowe somehng very vai. Te aedy seen the prot. ALN. Prise, « eer an who was he patch of i flytnd who ded rece, wed 10 call me feqenly ‘ton be came to New York. ALN: an it (ree very ifn cn, Wha thy hd in con ‘rt ellasee, bat where Jay eps very much © ml, AN. wes extemetyeBsive td oun, iment ody tear They wee a pertet coma. ‘AN bl the founding of he company fm nth Ing he gt te bss ob nt tense a geat sts ut because hy love hin. Now th company shape bse, nd ay, who sx ma Cooler psn dear ced te Cat ve | ‘He can be very tough and Oey still wast ‘wie am "Arya ALN wou come © New Yok, nd bed call and sy Hy, oa, im here ving ove to tp ove ad jt ty tll 10 you for couple of ects" And T's, "AN, Thaw what Soe doi. You want w Bal a hoe! someplace i Few York drt you?” Aad he'd sy, “love at {o et wd hat, Den, tease wooing to ht Yes, a i's god ows, ad i's go fer eveyone" [Aad when AN. woul! dot id some way of hanging ie sab, becuse Tike him omc hat ever hd te ae 1 0 i ity. "Tare are very few peopl el that way about AN. dd in 1986, ant T happened 0 hve ane rly imp oness mesg im my oc the dy of oneal in Chicago ws deal Ley ‘much waned 0 mae, and 4 been planing i for ‘tots an pple wee ying in om ll vert be ‘ere But Teamceled the meting i ele 9 © Gand Ho: eign oe + 18, (iagp, and a i ed oat, 1 nak sever abe 1 ‘nat at prc el hve 20 reget. Tre Some people in youre you ist watt pay your ‘spect; ee wha nls. AB! i he {Link oe reson my pases wih Hy as ‘emined song besde he fat hat he ee as ‘ee so socessal—is tat Talay ft ch ation for AN. Preeeas wor an asics sat, my mesing wih "rom the une [ook en purine Mahan ‘oe bepae wating te ect, ‘ached me te mot wat the lever balling a Stn Sweet and Pith Avenue ht hosed Bonet ‘ele. The main aracon was locaton, but a n= oe, was a mus age piece of propery. In ‘ymin, that ombnton ade pes he est Sale por of val ete in New York Cay. The ‘este patil wo bul ret bung in prime‘ont we coed by Ge, x compan ound ‘nthe le 1950 by sondern med W. Maney aan, who bit into el ngh-fying cooper ‘se, Macey sate off with ho comp ol in De began ying ater soe companies, and evel be more in real srs, pring Tiyan er Bendel, and Bonwit Tall. Bot een, tte ‘no 197, 2 tents bale began Yo ke tape eween Mayan hiss, Pili. They wee bth ‘tong py wih ones an ey wad em came so titer ht hey Binal cane ows as socket mating. Sine Tam 0 cose ry aber ound he wie ng bard eve, a the btm ie wa hat Fain ally oma 0 ‘po i fate ut nd take over And 0 1975, "Ate tne, {relly dag tack rr Tas tying mgt th Gad Hyatt gol, a wt {2 Raton fr my convention cetera a3 ing ha yet el. Bu for whatever reas, Fal San swig 9 98 me. Wo met ad 0 Bi ‘tai owt {mod love o by he Bot Tele Stren tuling I knew is wat «ough el 01 ‘Bed 1 nd way ma he dea sound wor were tre 1 sagen, for example tt 1 would bald ove he ste, and that he cul ep ope ring ‘rostaon. That's pt rely fase, bt tbe pot ‘re that woul ae ome lon eying ea pee of propery ‘res before nied my pc, Lod se fom the lnk on Franklin's face hte though his wa ‘many ee Te Ts Lin «1 shape he os eps tig he al ever ba ‘hen Iwas done he sald wo me, Nery poly but ain very firmly, "Yu've pot be czy you tak he's aay Way we'd eve sell his ned st” ‘We shok hands al Te, beleving that der 0 eumsanes would 1a anybody eh eer prcace {hs propery, ae dead ae ‘yen, 1 did't pve wp. began wring ete 0 ‘rn Jarman. i, rte thnk hi for lng, sme A exple of moths It, Twi 1 mk I be might emir. When Tot no answer ad few ‘moe mon ape by wrote ain nd sid ove w top by sos han api. Mowe tne ped. fad I sro anaber let, segesing whale mew ‘wey to make the del T wares, evn 0 the (ire of etl of exourageent, bcm ih ‘moe often than you'd ik, ar peice he ‘tloeace between mcr and fe, ti xe, [rnin Jannan sever bigs fram hi pos ‘on Buc at happened, he eer Trt evety 4d ine a ip. ‘Amat tee Yeu ped fer my fst mectng dh Palin. Dring ‘that tne, Onno began ‘ipecece ery sero fancial poems. 1 ‘ve any of Hx secre cought atl one evening in ie 1978, whe picked wp Busines Weok maine ‘nd read an ale abou & anagem change at Genie. The banks, tying to ete company fm clang benrop, bd mised ta a new ce ‘cuir be pt nce. The mas names Jon “anigan, nde wes comeing fa trond aris.He'd jut sccesly sed AMIE-Brnevick, wich een rad to go owe the din. is apc ‘wes somthing cal pranig, which i jut» le rey ying at be ok cmpnis apa I eet res, dl sel, ell he ase, ged ft (20, and pay of he bk. The ky, for wy ike ange, wa at he came to compas wit 2 ‘coonal tachneet fo ts people ois rds. At 1 reel, be bal o obi Hing ules He wut {ues ia aly baton ened ‘Ane ry mong wr Ted ie we, 1 ale Gensco, pt Haig on pone He Js tegu hit ae jo, bat © my ape, be ad, tu et ow wat you cling ou” “oe do Ta And he id, "Yeu, you'e the guy who has ben ring all one esr aot wating to bey Boni ‘Tes: Wen woul you i © met?" "As soe a ponies ‘eed, "Can you be hein half an bor?” 1 jt hows you tht sometimes aking» da ‘amet dow a fiming. Somebody le migh! hve ‘leh few deo few weeks bie me nd ‘Ge whol thing could have tured ou ier Tastee, I wet ee hi ad we a 8 Yry god ‘tenga chert the company nde eh ery bly very uc, nd that fd 20 ‘mcm ht ing Bor ray eer me fo Shatner, was ke gt pg ae By ee Tet thought re was «pod chance we'd me eal very que. “em Te Toe Tae = 19 ‘Ten something fy happend. ack Hagan sd ely teed 0 ta my owe cals. Tmt ve ‘ale him ea ce fen tes over 4 psd of te ext sre ay, bt T never go hgh 1 figured ‘het me ote bidder bad ome ang an hat fn {ny cane Kwa noe Ted Loi Sentie 1 ‘pest her Send Maryn Eva, shone hand, Devi, owned sive company dt he'd sold (Geos sever yar bef He'd Become +f) lage stockholder in Como, and ta gave ther sete out. Maryn si they'd speak © Hanan co ‘ny bb, ad set immed be cle ec {ever fond ot what th ely had ben sox, bu Mangan sugared we ve ster ein. The eT bough my lawyer, Jey Stage, Sd we ter abl omnes deat war ely le age Geico ove the Bont bulig bt mx he wie Iya and Forth land, hey ha ese with ven ‘ne yeas eo ran aed byte Png nd ‘ln ae forte sum of $25 malin 1s my ind, hat ws jt Gt ep. oder fo up the bung hd in mind, Ta ite hae ‘he fc tha be Bont ste wasup forse befor Tsige mart, C4 never me the deal Once the Donets wens he open mare, everyone ee ‘werd wa pug te afr Hane ng pe ‘raid go pt ough de woo. Thats wi ae 1 Salen swith Jk, Ta hi Lites, Pd ket dew op gu, smleleter of inet at says that Tre ageed t buy the propery foe $25 ‘alla, an you've aed wo sll set oly 1 {he deoring of ena documents. That wy (her of cn walt ney fon the deal” To my ‘ree, Jk sid, "Wal at sounds esas” Now lk s «very smut an, bt be wat» New ‘Ye py an eid ree how hw prepey ‘rare role at even in he mile of dope ‘on, de tl be peopl ind wp wo by ey on ew wpe ee of ea ht hen an here, Jc read i nd th only change be ae wat tow ina cme making ele set appv by hr board of des When he nied i ck 1 sme, Tid w hi, "Le ack, Cea ive wi that ‘dae. Un thee or four wees, you ight fl our ‘rd of dc acto approve th d,s at al defen te woe en of i eter of et” ‘Then ask whater be nse approval fom the rd of dct w sel he se He sd be di’, sc ad, "Les just tak hs one cms at” He ‘vei le hgh nd filly be aged et the ‘etn wih 8 deste omcthing C0 Paper 8 afi ‘nce Id the lear of et fen ak Hania — tw before had conic went oe 8 a ‘nang eee: The Tl Ltn = 51 med Conrad Stepensn a the Chase Maoh ‘Bank. My father hd wus doe his bie wth (Chas, acl so ged hat waste bt place 1 99 ‘it fo the $25 raion Tedd 19 mate fe Bart fc. 1 expla te Seal © Comet I mat Ing be Bonwit big abd the a ae, which nd feetaie yeu ef w ram and hat I bop > op et shcrapr on ese. Inmet be ‘Si, ""Uness you owe the unlcyng and ht’ ct Tang coo les to tty fining Inter ‘ord, was relcuat 1 pt mp mosey fr me 1 [cine Ste hat wee Yes ate —whon y [ene ran otc en over y the owner he Amdevng how. But Tate hatte comers aid 10 Connie, "Look, Fe gt two aeraces, ‘0 ink ter one cold woxk "Theft oe am, wa fo do a very inexpen- tive cates ino at eze baling, wih al {te proud fone. Becane Fe eying such low ‘eat hoa te remainder ofthe faeS125 000 « {ear which was pean, even hea wat contest Tre able wo poy off my morgage a sll ake ‘ce pit oer the next ity Yea Bot Coie ‘rast way conned, and even T smd the topes my wort cme mar. ‘What Urey wed to do, Texplie, was 0 meche oc only the bulding and the ese bt alo {he undying land. Thea, si, Xoo ti aig lading witout ik of sing ia lee expr ‘Wen [ld Connie ta the ows of he wring lund waste Buia Life Asta Sse. be ptctl for he Bi time. Tat we bth aed, ve ‘mesg pce 1 aed ad et esp ‘ih uti. They'd pt wp a bg prectage of th ‘nunc for the Hyat ly hs tie the eel a adr costco, things were ping very wel sveone mas fing ii abt he del "The net thing Td wesw et ep da w ee Gorge Peck he ad of Bgtabe Real Bae. te Sepemie 1978, jt a mo ince 4 Ba ‘wn ws Hagan. George a meta 1d thm {was Inthe posse of pcasng the Boot les, fr wich Elbe ono the nd, ad that ‘se cance fo fog x presi ht cou be Yen od fr beh fw T wou comb my hase, ‘i, fey woud const ea. Tope. ‘yy pres we'd ld a ew ideal ‘au fice bling co is ince se, ‘Byutble could have chosen spl bold on 10 te se nl the Bort eae a t,t hen at igh. Bot the dowonie, I pis ott Gage, Ste at hn hey won ave wo vt fora meager ‘aval rea from a Tease peg Log before the ‘ale of New York eal exe begun ect T {orld George tht my ter oon wa eno the cxating ting sd eam «more modes bu sl ‘est pit oe he net hy Yous In th as longer cra tha could pet acing for 50h 8 (lb Tht want i 0 ak at «perp ith Egutabi was my ony opin. Then b's jst {ee fee © ive a mach hae bargin with me. ‘eranaely, Gouge tok tea of «pare “rae The Tey Lie = 153 tno imme He wa het tha gt te toning nest to ba he hag bling {had in find bth’ an seen wat achieved with he (Commodore. By the tie let hi fe, b's given ‘we 4 commitment—ajet 10 my delivering 0 ‘pombes, Once asin, Toad asl japng Pro ‘Soa! comminen ‘My next move wasto we my fist cmmient— foc he Bont ese and the Egeland {54 id rom Tiny Speifesly, I wane 1 oy ‘be aris above Tila, whch was dec wy ‘ort he Boni se a comer of $7 a Fe, By puchacing the rigs pet etn ald 9 ‘mee zing ht, wich wall alow me to ball = moc ler boing. Unrate ow ‘syone a Tiny, and he omer, Wah Hain. was [town at ony ear real but al 2 (Siical, denendng, meri gy. Even, Pda trys nnued Hovng, because everyting he'd eve toothed ha tet 0 gold. When e a Lod a ‘Tita te best, nd whee a Bow Tele, ewe he testa o ong a en ily, was the best Tso hn a pares and be was 3 ma ‘ith impecabie mame, perfect white ha, east {ly lore at, ands per ye. you were ‘ating movie abut he present of Tiny Wale Hoving wont pt he pe Teed be very dec. alld Hoving 0 he pone and inode! mel I was Yery pli nt ey respec ani heared oar. BY i ie Der Sot hd done le mel of be bungope al, wel aon or a ari bul {ng i ev tT pot Tay’ ight 1 rope bh mods he meson. a Hong, "Look want ey your a igi, teste tt wl slow me to Bald & tc beer bung that Jou Dorel wil ie mach moe By sling me ai ih, ou wil reser Tfay forever No oe wil ver et a oer al herr ne wl ever ‘eep tava The eon el ld Honing “To Tt: Te Ty in = 198 ‘mectine, he oe smal pole. Fm ping way ‘sh ey fe for 2 momth, aT wo have ie ‘eves to this an pet ace "medal Tatar o get nes id, "Ge, Me Hoving, t's big pobem, bea 11 ne our a ih, can ul ally ferent bung, ad tate bao wich 'm ping ek 2 {sing variance If or some az yon change at ad while you'r may have done pea el of architectural work ad aang voce which js ‘Wier Hovieg footed a me a i ns hi Young ma,"he ald, "erage you die unde smd Sok you band mde ea with yu “That's ht” Twas speeches. You ne desta seer Iwas cing fom. While thre ave cay noble people de rel ex tines, Twat Imo vcs he et of people Wath whos os ‘ont want wate theft of fame beans ou know ifs meanages. Te taking stout te Jolie, the hore ws with wom ang cous bea signed conc ‘With Wate Hoving, I eine, 1 was dig with 1 tally diferent pes pedeman who wit ge Inely shocked at an sgt that he mit eae (on el He alo id away of aig dow, 2 at fe otal mae me fel = Hse pity for eee geting tenting could poly wg a or sa 'As i inppene, Wale Hoving went away and 20 sooner had he ef tan Pailip Mes made eltey the ahs over Grand Cena ie fa (cm of wt Pd aged to pay foe he Tiliy lt ‘ss, stich wee ina auch ete ean. Then leg a same mont several mre a ih dels ‘here mde lo for very big uber. it simp. New Yok Cig was veoetng and the realestate mkt was bepining to go tough he root. T knew Hoving sx bmn, ta Teint help wong shout how be warping to fel whe he Bad abo ‘hoe te dee ‘Sever days sr be reuse, wee 1 tak oer sore pm no el. Sie ee, oven at we a ‘Swen, oof hr exectives toga 0 alk Ba foo of making the deal by posing Ot what fad ‘pend inte sh 1 wa pc bt could se ey gaily tat Hoving war even more upset Geademen," be sai, "boa hun wih is ‘young sun ore a mows ao. When T make a da, {has he de, water goo one oa tnd one. ‘And Ttst [woe' hve 1 explain mel agin” ‘That wa the cd ft ‘er, ead tat Hoving went even ep far Dsag this same ped he'd appre decided 1 make rther dea, och bg than he oe with me {6 sll Tiny 1 the Avon Corton T thoaght ‘Avon a ter sooner oracle oe ie Tir. One oer bun, y/o pay ‘sch an ined pice hat could lane ving fot Specing 1 sl However, as oe of he conditions of {i pucse, Avon waned Hoving to ape nt rough Wh he args deal With me. ving “ma Te The Ty atin = 197 tear, sod uly mf Ato had «ple wth the ssighs de, be id he exces, he hey iat hae to boy his se. They dropped ne ead ‘sl toupt the sore, aod my el wet Hough ‘Wer Hoving was ut tly Honorable, aly lay mam. "Tht's exe what mde hi sch 8 teil eer, an i's wy Tila has weer bee the sme sine het gv you a sall ample oving tad «poly at Tiny tht when his best ‘tomer came, they could pik ou what ty ‘wad, sg for and be tle Iw very Simple sad very elegant No sooner dit Avon take ‘er tan tir eam facta sed sing ‘ew polices, inching te inrocton fil Dine le Tifay re cad Tht was Ge xo that {We soon Tiday' beat ames were that hey, bad © we te He las aK ma ot ty spit was self-efeacng You wat your best tama of pcal ‘Before very fog. Hoving, who'd grea fet sty on acon, pote op ane. That at Inne tings wore. Arion s Hoving en Tila for ample, you'd never se elles ou font on the Se, Sling fate waches abd cheap joel: Blok Ing peas, nd degrading ith Arce Whee x Wales Hovig sw pdr, got is people, thd he'd srt screaming, i bi Spied manne, ow dr you tet thom So hat?” And with in wes te pedder would be gone. Bat a soon Hovig ea done set pds imme et sb in oat of Thy. ad they ent movedce. However, aed ales fom Wale Hong. Tow employ some vey Ire setty people mo tke tcl sre at he rest rom Tra “ower hp cla, isin, and fe of pees. ‘Once 1 gt Tilly's at Fits, the we ost one more purl I cede. Adjacent 0 Tian’ hong 37 Soe and lee by Bonet was tay, ‘4.0 square fot, tat was real fT wa Bing alt te Bling had i med. Under te song rmplaione, youre roqued 1 hie + nisin of iy fet ‘f open sce Tear yrd—behind wy baling Without tt last pee, I would hve Deen forced och he re ud oat ofthe baing we'd ‘Moy dsp, a th weal be bon a sate. "Tee pew Iwaned wus owned by san tamed ‘Leon Kandel By eying te ovral Bonwit ee, ectvely coma the it, tone a my won was abt ete Ht had Sar than wey ean 10 ran and abo lacloded provisions at made ay ing canes patel impose Fata {eonrd Kandel ike Hoving, i aly hoor ‘sun Lenard Bann ra este by Dying spat ‘et bugs nthe Bro i he ites and Fores. ‘Batwa mot sal lands, he eed wo ge out ‘vba te saw ft conta coming. He sold Tailings and came 10 Mantua, wher be Bean eying up als on rine ropert—easing the bd wnder tits. AP the market roe, Leonard came tery sch and with owe of he ples of ‘ving sua te bung Rie. Meamw,te Iino who stayed inthe Brom went down terade del ht wat pod for bth of waged o ‘rth my execse of he opin, sin tr, {one spel to exeed my le on teste fos ‘ent years © one one yeu, ch a oa ough to ke ance. He ao ene te eset cms any probes against rezoning ‘And whe seed pay a shy here was se ey Tow fo + ong Kase sch eine sie sonar a ok has, ad mv emi vey ed ind. 1s funy bow things tm sand Laos 39 ema, in the ps couple of Yeas D's en ‘ving tough hi bets al is ete, Ea In oy bec an nd he's ke to ke me | 1:13 ponent sere te ad ude Bite Cason Dot on Genel Park South, which sone a is mre ‘abe oldgs. In aio, e pve me cont ‘rere dissin fhe lant whe he Hes eae ‘ones up in approximately twea-five yeas. His perp, Loman ld we, wast pet he and in he Inds of nein e tow wood get the mot vale ‘Ho whch nt would bee iS his, who rina majority ovnenip. Leona ss very gee ‘sma an be ao ery sma be ting el for he Kandel fly. By the ie atthe Kandel ste on St Suet, seas December 1978, sn wa n'a tote satin. Ta pice pte Ceryhing Inve, T4 managed to tep the deal compel secret, at I sil had no ‘ret with GenscAF 1979 began, my Ie ‘worl disaang fow ralp wi Genesere rutin, a ler who was big 52 conimed for Wesemyer that reach sn pecrent wih Gono fr th proper —and cae Tape bding mew mero te, Bonwit woul most Mel be coed wit he ae a econdary eft No sowed Wodoneyer's rt {le apart net morn al of Boos bs tsplyes ep ating ove Berg Goad, Sats Fit Avs, an Blooming’ loo for sew jobs. Sosy Bow bens bing ss box ‘opi dvs, it an bcoming los pone Seto rin the eT, ele a ther tote Gene tck Sede ty sapped ing Fe ie after he New lok Timer ace ape ‘west ew cov. The company’s perion sey del ‘On te cher hand, desperation canbe » double: edgl sword. Becase Gace aid cash all S90 gl, hy insted oa very ums con tet ne gpa al ent el, you pat down 810 {prceat dept when you sgn contact and the ‘emining 90 pocet a closing. Instead, Cenes> ‘Seman tpt Sov 0 percent comac—S12 8 ‘ilicomed te ther bal a long. My lens ‘vse me ao one 10 sch dead. The way fey saw i tere was 8 easel ek tha the company mig go tkrup elo we ever gH 1 long at aryened, a Dankupey jase “tomy Te The Plate +1, ‘ns powers you woul believe—alght choose w (ake ny depot ad we py of er eon, Forme opts much roy a ch, ny ages sd, vas aly igre cole at anther way. Twas ted abot fusing $12.5 mlion oo he ne, but athe sane te Thawed at the mare cath gave Gees, the moe money they ve 1 pay off eta hep Se croans a Buy. Als, my period fe wou te relatively st, ice vas oa stl nares 10 coe the deal as gucly 8 possible. The tine tecveen contact and losing fe six moth or ‘toe In is cae, we set a ty 1 aon, Tavly had» goo del of ine snowy vee In eel. AS fr buck as Aga, foowing my fist ewig with Jack Haga, Pa begun worting co plas forthe sit, and sa segtaing with he cy fr soning Aca, itn ‘wes of eviag Jock Hanis ofc, Thad cae Der Sut and sed him Wo meet me a tbe Boot se. When he gt her, pine othe lng, ot ‘asked him wat he hog. Ik was obvioay «sper Jocato, hes, bt what iT have a mi for? “t want to ai h mot atc bing in New Yok," Told Des, "tod T wt you 10 gt wen sigt my bea wan ow ow bg bling ean ely ai. "rom th a ine was top pint. Wath uch & gettin, te mre apres I cond bl, the ‘eo he ena Tcl hope to get on my investment Maret, higher cold oe berth wssath moe I ond chare fr he prin. Ay ‘med Arh Der, ftom the Mme of Moen ‘Apr very well when esi “Sysop ae ‘mechs or malig my.” Dear eae at icon. Ia a a nen. rom te sr, everyowe aed with mas hepa ‘ta cold get spore tid ge ey Serpe log a Suech of th Aten file wh ‘a, nen wd bik bins Tea ‘ae ting shout the Hyat, of cme, and I dda {ake be mings oo srl. Bren puting comet Gelman aide, Yl tal bang wou be fmoch more sting tha 4 abr on. Very uy. er gt cog up In my ethsiasm. Whe someone complied ta community boa bering tat te ding we tan mind ast eal and woul Bock (ao mach pt, Der anewee only ig, "IF yo want lg, ove w Kast" Tor any new bug, the perish bight is dermis by something ald Flor Area Rao (GAR. Specie, the ttl ware fous of Uulding can emo mieten cet mae of gare fae of he Bing Io It was psi ‘t mne toms, bu 0 het for example, tie ‘Sechee musi FAR vas 21.6. Naty has ‘what ieoded to go afer T new a og be ell bt, When Der dts fn comptes, ‘ig jut the Bt se wien Ty's igh (te Kandel pce, he deurmined tha or ta ‘mam FAR was 6.5—which he wld tated in went) buliing wih 10000 square et of‘temp eer The Te Le = 67 ve. On te higher Bos, we led on «sev ei, 22-4 elect tha pve he ting wey ‘Soh eet side, If You took te spe 2 ‘sce st tured then om ht ‘The eign was obvioly going ote mre expen se exeoue tn Something mere sandr, tt he vantages seemed sous Witten ah face we'd be rating king dine bung ‘Ako, the maple see woud ese at lat to views fom every om, sat inthe ed, at wold ke pombe to charge me for he aparmens TO fe, we were reaing he bt fa pone wer fru a pewtooting design, but war ko very ‘Sebi To tt eal Rome ran, you pnd bh, "Te net chalnge was ove he design pone byte oy which mem, eng oer ing ete soingvaiences. In coe ley exe, we Were ale eal gy by wing ope. The zoning aw reed {ha we bls proud or row lok ce a ‘an toro, messing fom 57% Steet 1 56 ‘Sac That wou ve mean ping ence fe ting om 57 Suet, rater thn FA ‘Avie, andthe later as bvowly mae pret fou. Weng ped ou cy pang at Be {SM Bung, between or Se an Mas Avenue, teady tad 2 soctaond ough eck aca, 10 {ta ours wold bert BY runing ow ace om a weet fk, we could conse foe Fil ‘ena droagh IBM arr, an rei al ‘poy out to Madon fem, Remy, eveyone {peed at wat the bs solution, The st ws hatWwe got te variance hat allowed ws 1 create uF ‘ecacsar nance on Fit Avene. "What ey aed rm Yr ta, wa he ae of he bing we ee propoing—sevey "es high with sue fog ate anima 21.6 FAR. As ary at Deceer 1978, even before el my de ih Boi ly planing et En ttt they considered car proposed bung bo bi ‘hey sid they tended 10 oppose leting us se eons nea or FAR sl it they re Yy comet abo the eof compabty wih he ‘Staller suroanding bad Fh Ave Forma by etme I cle my del ety 197Band we secre in eons Scans wit PManing, 1 bad sme amenston of my own. Fo "Ste could hve che bull smth alld 0" of righ bldng—ooe that dre rue ‘ny vances. Mach the way 1 done exer ith Water oving, 1d De prepare «roel of he sight baling 10 sw cy pling Twas des atin ile fused bo ging Sig op ‘phy se, catleeing ver Tiny's We tak the pasion ar i he cy woul approve te aiding we wanted, we were prep obulda of "iah™and we showed hem the model ad the ‘ings. Nara, hey were Bored. mot sre they tle we'd ever bl event wa ‘mal, tt tee eas no way they could be se "The act thing I wan able to we im my favor— mespecedy—vas Boris Teer fell “At ft {Shue teardown te sre a wok be “Dun Doe Te Ty oe + 19 te ea of Bat very soy ae signed my dea fer se, ater company, Aled Sores Cope {ia ane a el with Genesco opr the tele ‘emining Bort Tle brs ean ging from Palm Beach, Ha, to Bevery Hil, Car fin Soon afer th, the present nd CEO of Ali, 1 erie retuling sxe named Theras Macs, ‘Alin ef had een very cow wo tanktsy when Mace ok orl 1966. Bu over he next fen yea, ed rslormed noone fhe songs ‘ling companies inthe county Micioce expand {0 me that whe sever fhe Boot stres he'd ast rcs were ute sucess fe twas cel {0 contin wo hve te Baptip Bonwit in Manat, ‘And lly, he be eo hep th ret 70 Sect and Fh Avena ot only case hd bo ‘he foc fi ear, bot so teat the con wat ‘aes Told To, righ of, thre wat no way 1 oak tire Boowit nay ae rach space ar pesos a. On he ther hand said, cul ie ood ‘pic, froin on 57 Suet and cone dy Sought rum ended o bed 09 99 round for. showed iy plans, and very short fine, we wee ale ose ae TR mas very pod fr Tom, because we signed & longer Tete at tener square far below twat ater gt for aera pace th bung Burk was abo very goo! for me [ese 38,000 separ ett Alied—gving them 2 sore De thanne uate the ste ofthe rg Boowit—fr an ‘Sua at of $3 millon, pura pecenage of tir [po0. Td pid $25 millon Yo puctase Bonwit Fes end bg, and with «10 perce one, ‘my carving cons wer apron $2.5 min & eu ner word ws paying ot $2.8 mca ws ‘en the s,m geting $3 milo back fom Aled fer fsng ther sal portion ofthe tal spe. ‘Tat meant hl roi of $30 00a ear and red the Lan fr othing—all guraeed befor 1 even ‘mga conscion. Bete ec Iwas ing the ew Bonwit oly a smal port of ye oad ot the eat ther re. ‘But peraps esto al, wha pt Bonwit wat # store the yvery mc wate 0 key i Now York 1s able 1 mate 3 very spl, very tong ease tte people athe Cy Planing Conmission. 1 you ‘ret Bonwit ort o Ph Aves, Told tem, ue going 1 have t give me my zig ven with hat my eproral as fa om 2 se tng Te cl cosmanty oud opposed sch ll lang Asa ploy, hey gpd sme moe tim oa tew tidings, f0 sd wheter te ea ‘as aealy eve A Commitee Ban the Bald Ing Boom sane ap. AS soon a that happened, ci ae et ion tye Lotking tack, 1 do’ hiak police or leverage made a etcaldifrnce one way ov he er, Pen tool caved that Kas te chee all tat wo tou appro And perhaps ne ed Cmssin voted on oar ning The power of the "New tok Times sot wean. ect one of the most induct isto a the worl, and T ‘scope tat anything Maxable wre would have momo input Mororet, 1 knew tht she was Isle 6 syscrapes in gnc, ed hat be ast sles prefered old an casa © mew ad ty. Bt by tbe mide of 1979, T was word ston ete was oing 0 get my zoning. 1 ig a usable cule mike things wos, ad th i 35. Tacky she might wre something that would be. ‘i eay Jane Hixable caret see our pls On Suni, Sly, the Times Ars aod Lebar section cael ber “Acie View" coum about Tap “Tower war ted "A New Yor Blotbaser of Superior Design.” That Deane ebay id moe form ong than ny snl ing Veer ad Fi ‘The fy tg wa tht Haxale pet he i lf of ter review complaining tt oar bling wast gan sgestig ta hd eed very ck i the tok to masimie sae” Ba, iment she tte me 50 much at she did te efor tuning ne ht He ad encamped developers to ‘what a doe. And he, ate eo she pe os sever tefl lines, "A eat dal of cae as beenlw on ts dt.” she woe, sing, ‘neal damataly bande wea” ‘In Oscar, he planing comssion ueninoly proved our zo. The commision a woud ve prefered many toad fo Tan Tower, ‘mre comple eh eighering Bugs, bt wd St hey mit ight fhe ft hat Tweed be proving "exrriny public mei." nthe ody we said an FAR of 21, baey let tn (e216 maim. Tsetled for js to fewer oor tien Ta onpaly sought. Tt pve me te on let ofa sintyigh ry bing, incon tbe ge Soule elinged level arm, whch made Temp “owe ele rede bling inthe y= A sae time, the iy took Hurble's comments about 1 soning awe to ear. Rexpning tothe way PS ed one ad rights 1 cee » mach ge baling, he city amended ts 2g ews event other fom dong the sane ting inthe fore ‘Once {hay soning. the vent challenge was ting he tower ba wat ping wo be cheap ‘When yor bud above cri Neigh, conection cous ze amon geomet simply tease fe Somers mich more cosy Wo do etening, fom ‘forcing tei ong op pie, On ‘eo and, ete hd sacha prime etn, fe could afd HE i tej ig, Ue be charge nh pei a een co wl Oster 1980, Case Mastin aed to pro- defacing forte conten of Trp Tower i mdse Knew hw 1 pt ngs one "t's fanny My own mother was hosewif al ber Me. And ye is tare tt Ive fred tof women fr op ob, and they've teen ano my Best epl. Ofer, nit, they a armors ecive than {be men wound thom. Louse Sutin, who was at ‘exe vce preset it my compar fre eas, ‘esas rete fig as you'll ever meet Bn Syague, the eect vice present who handles al ses and ores the iter eg of my bligs ‘5 one ofthe beat epeopl an manager I've eer ‘met Noon Feet, my eece ast, see ted ching and very chs, bot e's sel unde eat, an people wh hn she can be pose wen id cat ery gil tht hye misaen vans my fe is = eat manger who teas ber eaplyeet ey wel fot sb aso very emnding and erycompete Her enpiyece retest er cee thy iow shes ping bel fad she's pking ‘tem ‘We began denolion of the Bonwit bung on March 13, 1980, and smost imme 1 found myelin te mise of «major conser overt {wobec sculpt were» Sr lhe faa oft enteor of he bling Al ring 1979, hg oer 1 eden tay phe ed bmp sotang fr sing, to ns expel ny tres Im ove cas So reese fm ann indus preserva, fom any comma ‘pauper sigan ang thom. ally December of 1979. sory before 1 was 1 begin ‘eestton, | cl fom soncone athe Meno. Fate Mosca of A asking fT comer doug he es, and ein ow giver. alt fens could be sed, be apy odo 0 te mae "What happened wat tt we began the demain, nd when came te 1 takedown he ns, 2 Diy cane © me they sail, "Me Tan, se {eo evi han we toot ad You wat {ty © save tem, weve ig to hae al spc ‘Salling orf ake, ad gong tke a eat several weeks" My carving charges oo te entracion lon ris poet wee enormens—2o {© meron te exactions of dying te {ob [Jot wan prepared lve Rane of ln of delete few At Dec cles Teton were wor considerably lee, an pcb ‘ump ov Th Ta Lon «175 ct very mich a al So nde my yp tem ove "What hd count on was the urge is would crea. The following ey. te Now Yor Tes an 8 ‘songs picture of the workmen demolishing the ‘cols, sd he cet ing I hnew Td become 8 Aymbel of everyting ei abt male develope: A Time tracted te demolition a "4 ‘ntl Yeon af cab How cations crwephing {ic ene nl went nt ha "obvity fh blings do et make ig human Dig, or ‘hu ee nk expert" 1 wat ot the sr of publicity you Ie © pet _Leckng eck, rope at lhe pes eg. im ot convinced hy were tly vale all ‘bik ha eof my eis were posi ad po ‘cies, bt ndesund now ta cera events an {ake a symbobe importance Fry, Twas foo Young and paps into much of «har 0 take {hao cc. The pts ht despite what ome ‘eople may tink, I'm ot looking Be Da By (hn th actly monary Troll, i whole convey may ave ended up Dog a pus forme ia tems of sling Tramp Tower. The tre that appeared abou it ivi sed wit sence Ike "In edermake my for te of he word's moa hea ings Ee feough he publicly wer loa eatey nape, thre was a at dal of and ha drew a women: (us uncut of ateation to The Tower. Alot Irma wean an purge sen apmem, I'm at saying tha’ god thing, sd in uh IC probaly sys something pees sbst te cure tw lve i. Dut Ie boineaman, an ean 3 ‘Ee from at experince: pod uty ete ‘et ta, bat fom & base pepe, Oa bly is wnties ter han 9 pia So treed ent, doe pamow. Even before me stared comsrction, 1 begin 1 reine tat te fre of Trump Tower. At ft we ott 1 i ‘anata secing for real, but wie ste Soa dings andthe model, Talal told be truly pecan [abe decided I would spend what ‘vr tok os that ved op oh pent erupt best example i th mre. Oral ‘tong of wing tne own pans tha had ben 50 succes ore eyo be Gem Hyat. Bu i fac became convinced a what war re for 8 net ty wan ees it fo et sopping ‘tim De ran, a Tooke nes of te Samples. Ply, we came upon something ald Brescia Pernice, arr mabe nn clr moe fs ad ever san before an exquisite Mend of rose, ‘ech nk ht el ok ut bead ey. OF ‘rune ima nr expense in pat brane Srars very ineplarmale When we wet 10 the (qa, we dicoverd tat much of he mle con Tt ng white spots and wit veins That mas [aig 10 re mn 0 avay fom the Peasy of the stone So weeded ping the tary with ck ‘ramp oe: The Tl Latin +177 tape an king of the sas tat wee he best. TheInne pts if we put vp even some very wonder ar Hot mal soccer bewn® ey 39 ‘ate ani omegrnos, Tm coin! tthe Tap “Ter sium tc for os the opp reasons Wes ger than if, and waking rough Hi tesporing experece, alma ae Hf OU ena "We eid crete sven of tht feting fn he parents eens. The mest dramatic element we io afer, of came, war he view Sice the resend nits i'r ont he teh Herel, (rot ner ghd te amin Paley, whch amp oe: Th Ta Lectin «177 ment bey ad views tthe north of Cet Pi, 8 fhe south of he Statue of Libr to hee f the Ent Rive ands he wet fhe Hadon naon, tte semonth design of ie bung geal he maar ‘oom in he apres views ina atte ‘ions. And ten, 10 make sue we ook he best ‘crmage of thee view, we tult huge windows, ‘ually fom ort celing I wuld hve mae be ‘rindowe all he way fom oor cling, bat mae {5H Gat ons here at ea ome ba Blow 8 ‘window, ve people pet vero. “The fey bing i ht he de of the apres ‘tes rt a9 oof be cement We (phy dacvered ha the sot of bayer who spends Si min for 8 wo-beoom ped ere, or $5 lon fr forbear epee gang ie i ‘oun desig, gute april, aad bail owe te. Tn te ed; he reason tat we wee ale charge mpc pice for he spent was ome ‘ing beyond any specie Lanes we pried. Kat ‘te fc tha —rongh soe He o Seng, mar Se, eatin, promotion. ck, ad Sning—Tramp “ower ont mel su A et of Bangs ct te vccntl, bum conrad tt ely ce, 7 ‘Sven tne can sclee the nl of ques ce ‘ary to att he best ber and command te 1p ince ‘Before Trump Tower, the st hung 1 achieve ta mye td bon Olympic Tower, on St Set ‘a th Aru, ult in he 19708 The yingx ws the fact a Ait Os owe. At ae ‘ine, Ons as living a ameig fe, He was suri Jaki Keandy and was the tie jet ‘ster with mons aman the wer = be act {td even his oem inland, Skwpi. He was Werth tnd very bt ad while Olympic Tower wat a Perce excng or atactve bing, ws te Fh pont done by he ight gy the ight ine ent ole ep of te markt fo amr erry tiling tat weet pan he eine to Caleta on Eat Sr Set "Ait rede, Tramp Tower also sine be mat ‘tom on potty major compete. Log bef made my dea fo the Boat se, acter developer {ounced plans wo bal «hap conomini Wovet ‘hove the Macon of Moser Art tof A ‘eon at Shed Steck. By al righ shu have eon a fntaic cen. Th comecton ih the smscu ws ery restos, te ction was ood, the ache, Ceo Pell, was Big name, ad the ‘evlper made kar that he wold reo ot ‘roe bal te bes ‘ower, rnp Towe fa oooh Mameun Tower. Fir ‘of al, aifough we go sre le on con suction, we ep sling oprtnent a Top Tower ‘arn te sane tine at Mine Tower rm te sat, Toul ee eal ome adrmagee Ob ‘oa we tad 2 beter Icon on Pith Ava Bat in ios, the sage of Masco Tower wast lap. The fice, wih its muliolred gs, ‘seul sting and the ob wast ter soca182 + TRUMP: THE ART OF THE DEAL co-op boards get their kicks from showing off their power. It's absurd and probably illegal, but it happened to be great for Trump Tower. Many wealthy foreigners didn’t have the proper social references for these ‘cooperatives, or didn’t want to put themselves through the scrutiny of a bunch of prying strangers. Instead, they came to us. I still remember the morning, just before we began ‘selling apartments, when one of my salespeople rushed ‘into my office. ‘Mr. Trump,” she said, ‘we're in ‘trouble. Museum Tower just announced its prices, and they're much lower than ours.”” I thought for a minute, and I realized that actually the opposite was true: ‘Museum Tower had just done itself damage. The sort of wealthy people we were competing for don't look for bargains in apartments. They may want bargains in everything else, but when it comes to a home, they ‘want the best, not the best buy. By pricing its apart- ‘ments lower than ours, Museum Tower had just an- ‘nounced that it was not as good as Trump Tower. ‘A lot of people think that we set out to attract celebrities to Trump Tower, or that we hired a fancy ablic relations firm to promote the building. The truth is that we never hired anyone to do public relations, and every star who bought an apartment— and many others—came to us. Nor did I give any of them special deals. Other developers cut prices to attract stars and celebrities, but to me that’s a sign of weakness. What really means something is when a celebrity is willing to pay full price for an apartment. ‘Trump Tower: The Tiffany Location + 183 If any press story about a celebrity helped promote ‘Trump Tower, I suspect it was one about a sale that never actually occurred. Shortly after we began selling apartments, I got a call from a reporter asking whether oo not it was true that Prince Charles had purchased an apartment in Trump Tower. It so happened that this was the week when Prince Charles and Lady Diana had gotten married, and they were, at that moment, the most celebrated couple in the world. Our policy was not to comment about sales, and that’s what I told this reporter. In other words, I refused to confirm or deny the rumor. Apparently, the reporter then decided to call Buckingham Palace. By this time, the royal cou- ple had left for their honeymoon and they were out on the yacht Britannia, so the Buckingham Palace spokes- man seid just what I had: they couldn't confirm or deny the rumor. ‘That was all the media needed. In the absence of a denial, the story that the royal couple was considering ‘buying an apartment in Trump Tower became front- page news all over the world. It certainly didn’t hurt us, but I had to laugh to myself. Just a month earlier, Prince Charles bad come to New York for a visit, and the IRA had come out in force to protest. As Prince Charles walked into Lincoln Center for a concert one evening, hundreds of protestors stood outside, hissing, and screaming and throwing bottles. It had to be a frightening experience for him, and I can't imagine it left Prince Charles with a great desire to take an apartment in New York City. Also, while Trump Tow- et is a great building, I suspect Prince Charles would184 » TRUMP: THE ART OF THE DEAL ‘Trump Tower: The Tiffany Location + 188 find it very hard to get used to any apartment after growing up in Buckingham Palace. With so much demand, our marketing strategy was to play hard to get. It was a reverse sales technique. If ‘you sit in an office with a contract in your hand, eager ‘to make the first deal that comes along, it's quite obvious to people that the apartments aren't in de- mand, We were never in a rush to sign a contract. When people came in, we'd show them the model ‘apartments, sit down and talk, and, if they were interested, explain that there was a waiting list for the ‘most desirable apartments. The more unattainable the apartments seemed, the more people wanted them. ‘As demand grew, 1 kept raising the prices—twelve times in all. We started out selling for much more than Olympic Tower, which until then had been the most expensive building in New York. Within a short period, we'd almost doubled the price for the best apartments on the highest floors. People were buying two-bedroom apartments for $1.5 million, and before we finished construction, we'd sold a huge majority of the apartments. ‘The cycles of buyers at Trump Tower became some- thing of a barometer of what was going on in the international economy. At first, the big buyers were the Arabs, when oil prices were going through the roof. Then, of course, oil prices fell and the Arabs went’ home. In 1981, we got a sudden wave of buyers from France. I wasn’t sure why, but then I realized the reason was that Frangois Mitterrand had been elected president, and anyone smart and wealthy realized immediately that Mitterrand was going to burt the French economy. It wasn’t just that he was a socialist, and that he began nationalizing companies, it was also that he turned out to be a dangerous man. What can you say about a guy who goes around selling nuclear technology to the highest bidder? It’s the lowest any- ‘one can stoop. ‘After the European cycle, we got the South Ameri- ccans and the Mexicans, when the dollar was weak and their economies still seemed fairly strong. Then, when inflation set in, their currencies were devalued, and their governments tried to restrict the outflow of cash, that cycle ended. During the past several years, we've had two new ‘groups buying. One is American—specifically, Wall Street types, brokers and investment bankers who've made instant fortunes during the bull market frenzy. It’s ridiculous, when you think about it. You get stockbrokers, barely twenty-five years old, who sud- denly eam $600,000 a year because clients they've never met call up and say, “I'll take fifty thousand shares of General Motors.”” The broker pushes a button on a computer and, presto, he’s got a huge ‘commission. As soon as the stock market falls out— which it will, because it too runs in cycles—most of these guys will be out on the street looking for work. ‘The other new buyers are the Japanese. I have great respect for what the Japanese have done with their economy, but for my money they are often very difficult to do business with. For starters, they come in to see you in groups of six or eight or even twelve,186 + TRUMP: THE ART OF THE DEAL ‘and s0 you've got to convince all of them to make any given deal. You may succeed with one or two or three, but it’s far harder to convince all twelve. In addition, they rarely smile and they are so serious that they don't make doing business fun. Fortunately, they have 4 lot of money to spend, and they seem to like real estate. What's unfortunate is that for decades now they have become wealthier in large measure by screwing the United States with a self-serving trade poticy that ‘our political leaders have never been able to fully ‘understand or counteract. Because the 263 apartments in Trump Tower proved to be so desirable, I decided to keep a dozen or so off ‘the market, much the way a hotel operator always holds a few choice rooms free for emergencies. It was a way of keeping options open—particularly my own. Originally, I decided to take one of the three penthouse triplexes on the top floors—about 12,000 square feet in all—for my family. We moved in at the end of 1983. I had offers as high as $10 million for each of the two apartments adjoining mine, but I resisted selling them, figuring T might ultimately want more space myself, Tt proved true sooner rather than later. In the middle ‘of 1985, I got an invitation from Adnan Khashoggi, a ‘Saudi Arabian and a billionaire at the time, to come to his apartment in Olympic Tower. I went, and while I didn't particularly go for the apartment, I was impressed by the huge size of its rooms. Specifically, it had the biggest living room I'd ever seen. I had plenty of space in my triplex, but I figured, What the hell? Why ‘Trump Tower: The Tiffany Location + 187 shouldn't I have exactly the apartment I wanted— particularly when I built the whole building? I decided to take over one of the other apartments on the top three floors and combine it with mine. It has taken almost two years to renovate, but I don’t believe there is any apartment anywhere in the world ‘that can touch it. And while I can't honestly say I need ‘an cighty-foot living room, I do get a kick out of hhaving one. Successful as we were in selling the Trump Tower ‘apartments to the top buyers, we did at least as well in attracting the best retailers to the atrium. It began when Asprey, a London-based store that sells the finest crystal, jewelry, and antiques, selected the atri- uum for its first branch store in two hundred years of ‘operation. At first, they took small store in the atrium. Business was so good that they have since expanded to a much larger space. Quality, of course, attracts more quality. The next thing we knew we had leases with many of the world’s top retailers—Asprey, Winston, and many others. It didn't hurt, of course, that in April 1983, just after the atrium opened, we got a good review from Paul Goldberger, who by then had replaced Ada Louise Huxtable a8 architecture critic of the Times. The re- ‘view was headtined ATRIUM IN TRUMP TOWER IS A PLEAS- ‘Avr SURPRISE. It began by saying, in effect, that other critics had been wrong. The atrium, Goldberger wrote, “is turning out to be a much more pleasant addition to the cityscape than the architectural oddsmakers would188 « TRUMP: THE ART OF THE DEAL hhave had it.” The review went on to say that the atrium “‘may well be the most pleasant interior public space to be completed in New York in some years. It is warm, luxurious and even exhilarating—in every way more welcoming than the public arcades and atriums that have preceded it in buildings like Olympic ‘Tower, the Galleria, and Citicorp Center.”” ‘That review had two positive effects. First, it rein- forced the feeling among the retailers in the atrium and the people who'd purchased apartments in Trump ‘Tower that they'd made the best choice. But second, ‘and more important, it helped bring more shoppers to the atrium. They, of course, were ultimately the key to its success. ‘The odd thing is that no one could ever quite believe that the atrium was a commercial success. From the day it opened, false rumors circulated. One was that while it was obviously a tourist attraction, no one really bought anything there. Another was that the European retailers stayed only because their stores functioned as high-visibility loss-leaders. Still other stories had it that the stores on the ground floor did well, but those on the upper floors did not. As late as 1986, a New York Times reporter came to see me, obviously prepared to do a hatchet job on the atrium. Instead, he did his reporting and ended up writing a front-page business-section story about the atrium's extraordinary success. ‘Typically, a suburban mall has a turnover of at least a third of its original tenants during the first several years. Trump Tower lost only a handful of its stores ‘Trump Tower: The Tiflany Location + 189 ‘during the first three years. More important, no sooner does a tenant leave than he is replaced by one of the fifty retailers we have on our waiting list. Stores with the most expensive merchandise in the world have prospered in the atrium, Not every quality retailer has found the location appropriate, of course. The best example is the experi- ence of Loewe, the leather-goods retailer, which was among the atrium’s first tenants. Loewe had beautiful merchandise. But it turned out that while a wealthy ‘woman might pay thousands of dollars for a piece of Jewelry or an evening gown at a shop next door, she ‘was not willing to shell out $3,000 for a pair of Loewe’s leather pamts, no matter how soft and buttery they might feel. So Loewe's didn't do well. But in the fend, everyone came out okay. Asprey, which was doing very well next door, took over Loewe's. space. Loewe, therefore, got out of a long-term lease, Asprey ‘got an additional 4,600 square feet it very much wanted, and I got a great new lease. ‘One last clement helped make the Trump Tower deal a huge home nun, and that was something called 421-A tax exemption. Ironically, getting my 421-A ‘ended up taking me longer than it had to assemble the site and complete the entire construction of Trump Tower. ‘The city enacted the 421-A law in 1971, to encour- age residential development. In return for improving @ site, developers were entitled to an exemption from real estate taxes over a ten-year period. Every two years the exemption decreased by 20 percent. Every-190 + TRUMP: THE ART OF THE DEAL ‘one who applied for the 421-A exemption got it, almost as a matter of course. Then T came along with ‘Trump Tower. ‘There was no question that I was entitled. I was proposing to take a ten-story building in a stale of Aistepair and to buildin its place a multiuse sixty-eight story $200 million tower. Unlike the tax abatement I'd gotten on the Grand Hyatt, where I was forgiven all taxes, the 421-A program wouldn't exempt me from taxes currently being paid on the sito—but it would ‘exempt me from additional taxes attributable to an increased assessed value on the site. Who could argue that I wouldn’t be improving and better utilizing the site with Trump Tower? Ed Koch could, for one. And the reason had noth- ing to do with the merits of my case. It was all politics. Koch and his deputies sensed an opportunity they couldn't resist: to position themselves as consum- cer advocates taking on a greedy developer. From a public relations perspective, I was vulnerable. It was uite obvious that Fifth Avenue wasn't exactly a mar- ginal neighborhood, and that I'd probably succeed with Trump Tower even if I didn’t get a tax exemption. But in my mind, none of that had any bearing on ‘my legal right to a 421-A exemption. In December 1980, I applied for a 421-A for the first time. A month later, I met with Tony Gliedrian, commissioner of the City’s Department of Housing, Preservation and De- velopment, to make my case in person. In March, Gliedman and the HPD tumed my application down. I called Koch and told him I thought the ruling was ‘Trump Tower: The Tiffany Location + 191 unfair, that I wasn't about to give up, and that the city ‘was going to waste a huge amount of money litigating case I'd eventually win, In April 1981, I filed something called an Article 78 proceeding in state supreme court, seeking to have the city's ruling overturned. The court found in my favor, bbut an appellate court reversed the ruling, so I took my case to the state’s highest court, the court of appeals. In December 1982—nearly two years after my original application—the court of appeals ruled 7-0 that the city had improperly refused me an exemption. But instead of simply ordering the city to expedite my exemption, the court told the city to reconsider my request. They did—and turned me down again. By now I was so outraged that the cost of the litigation was beside the point. We refiled an Article 78, and exactly the same scenario unfolded. We won in supreme court, got overtumed at the appellate level, and ended up again before the court of appeals. My lawyer, Roy Cohn, did a brilliant job, arguing before seven justices without so much as a note. This time, the court again ruled unanimously that we were enti- ‘led to our exemption—and ordered the city to provide it without further delay. ‘That was just the icing on the cake. By this time, ‘Trump Tower was an unqualified success. It had given ‘me visibility and credibility and prestige. It was also a ‘great success financially. The way I figure it, the entire project—including land, construction costs, ar- chitecture fees, advertising and promotion, and fi- nance charges—cost approximately $190 million. Thesles ane have ft generated $20 mili ‘esse ht een blaring revere fom ‘vee fics, we hve eared prot of spre ‘tly $50 lon on Timp Tower I ao came ‘ore thn $10 milion commissions a ae get fer perinet in Trp Tower. Pally the re fom (ies waco and Ge ta ake goes iy ‘lone e's yar_lnos al of prot ‘Urinal. Tramp Tower became mach more tan soto go del Two in ve ty ad 1 ave ery mpl fing shout An is cae hme auch 2 pence tachment ht tended ep eying ut my prin, Eats, in 1986. What append tc Eatale pts pew ay i charge of ‘New York el sare pration One da hi flow cal me op and sail, "ME Tramp, I've Js been Ino over te books, sd Tk you © expan shy we seni voc onthe maitenance of “Tp Tower” We wer, in ft, peding way SI nian year, which almost wneard of” Bt the ‘olamtn wa ve imple hen you st ees ble andar they me egesive fo maim A fee simple example, my picy was wo hae alte tea nthe atm pel ice + mth Why i ‘ew ak cold we ewe me hy ting nce every couple of moa? At wa el explain tha on of te ny etn or the sce tein hat so epecahy well Uae dT ad ite ‘fcunging orp, aT mgs oie tre that pra he oop o ake yt ik abo “na Te The Paton + 298 wheter he rely wanted to pu He called me eck tent four hous nr, a he Sade gh out i and bed watt go shod with cutacs, ‘That was probaly the ead of sy parecip wi Buble. Mosh [ed Buta 1 wt at ‘ovamper wih something 1 sce ut 0 ae few bucks To do tat would have bees tay var opt, ut as alo iso. 1 went © ny fend George Pesce, he heal ffl ee st xual, an expe ht we ada ple, el ‘tt her disco be away out of Tee {ene yoo Eg’ sre. In hot ine ‘we made dead | now ow Trap Tomer ou Tig Aer we'd signed the cout, gta leer {fo Gongs Pec. who ended by sying "AS wih ‘most hing in ie, tine cls fer change best {0 mcep that ft Nevers, Isl tay be {Pood of my ievovenen in the craton of Temp “Tower aod fon remember bow we wee ring ieahowe™ Tr ery pe tet hat eer was aay sry tocol a pate ht hd ben clas fom te sa‘The Building on the Boardwalk sr rma the scone of th cain Tee (we Gay lain 97S. Twas ving alow in ny crt et her meeting stow the Conde For del when news report eae onthe rad Hotel employes in Ls Vegas, Neva, he tower repre, hl jt ed ke Among er cane pence te sock pice of Hm Hotes, wack fed two casinos in Las Vegas, Bad droped trenendomly By tis tine I Anew someog at ‘teh! snes, bot wa il med How wast prone dt the sock of «company Ba owned stlest handed otis werdvise could be bat 50 ‘aly ty ake agit jt 0 of the ‘When Ig tack omy fic, ak nly 2 small scant of sear find othe answer Hon it ‘arond ut, owned more than 150 hs wade, ‘ar ts wo can hotels In Las Vegas cou for seatly 40 percent of he company’ wt profs. BY eanason, a bl sch as te New You Hien toe of he bggst in Masbatn and one Tabs ‘owned wats bape scence fore an {pron f ove Hien profs was 4 sobering tought Fr sey two year, Ben woking ay nd ight ty to bl my own ge tel oo 20d Steet Twas’ pexing my prom, wa esting fay foucng, tl tected Nighy ely tat ‘tole deal war going fall rough. Now for te feat tine, ccd 1 me tha ven iT aly got tte tel ad it became «mor sac fhe ‘te Commodore deal and T ed nt 10 give op on Soching I've stared. Bat wha id soy er | ‘ead ha no repr, was take wp down 10 ‘Anne Cy A year eter, «refendom wo lgalioe goblg dogo te ste of Sew rey ba Ben {uly dete. Now a ew inv war on the 1976 ‘tt eae gbing solely i Ac Cy. crn seemed wort checking ot ve never ad my pet moral poles with ain Decne lay lon the Bova ty he ocean. Special — creryne frm pe publi compass 1 yy ihe ‘oe mental moved ike rls Fares ing in ty homes tha hey cr’ hae sold 8 year ate fr $5,000 saely found theses being ‘ee $300,000, $300 000, a even $1 ein.{ema ite ico, and deed nto be ne especie te es of petig =P Joe of pre sk money. Sey, for example, 1 paid 500,00 to tay a pee of propery ela te lr edn. IF fd, my $500.00 favemest woud opin va to almost sing the next dy te ‘lac psd, tht sae pce fan! might cont ‘me $2 llc, but! hgh it wat» Bete et 1 ‘moe fora stig. The coor fa sce fsbo eperton we 5 on hat pving ee ae for god ste wou evetuly prove tobe ral expen, Soe etoagh, the refered psd in Nove 1976 ond ws signed int aw byte wide of 1977 By Wen, however. be Oran Hat roec wfly moving eae ad the poe fad in Ada City ‘a become more tenn tan etc Jos 8 de fe ear eter a Manhtan when ces seemed too hgh T decided 10 ay co te ‘ine ide longer. knew tht 1 was pan fod Asp my ees pee, «beter oppor woud ‘rear aie ‘Neat the ears pase, but lyin th wiser 1980, T gr cll fo an weve al oki te frm Aa Cy Held me that etal ime pice of Bourval propery lays bee Ine in might be aval. The ing coun’ ave ben br For ove thing, the fst wave of ophora abst te casino tines ba pd, ad fines were tougher. few casnor Res, Colin ning Th tg te be 199 Naget,Caese—ere doing tee usin, bat ‘te eet venue ha run itl id of prob. Bal, tbe newest cao in twa, hal come inn est $200 milion ower bop. Te Tpican iy, ‘wed by Ramada In, was expensing severe co ‘tion tes an erconons over Bob Galo of Petous ha anounced last bil 3 Bow ‘al cio, nl oar soging te Be ule get aucing Hugh Helse plne for © Paty tetas fll per fer be was tue «da fora ens byte Cain Cone! Commision. ‘Aa dozen ser nown payers ha come Hig ‘nm tw with peat plans. sly Yo be Gerald by ‘rane wah acing and emg. te "he hag cot of balling » secs. “aunic C's reputation ad also teen but by coxnton charges wing ou ofthe F's Aba Sing parton In 98D, te vcectaeman of Cano Cont Commision, Kemah MecDeati, reine er dnt that'd een Ine 00m ‘thos $100,00 bbe was sed 1 cal poticin 1) ptt vss faking Frey peti 2 ‘Shino Heme. To make mtr sl wre, he winter ‘980 had been par barber ea Ss windy that nour 2 Feta you oak ‘ely sunt po the Bowral Side, oy hat ha bes vey for seve years ed very cd, erly and arti. No ‘ne wa aling att hiding 2 ene aos. "scr possible tat he ating bss x Aa ‘Cay wan ping prove oe seal at Bestcough to sustain enly few casinos. In my view, Sawer tnt uated no an appr. The wort tines ofen crete the best epprtaniies t male (red del “he teoandehaae piece of popery tt | gt (te cll aout was ae coer of he Boardwalk ost (fe ma od lain ino town om he Aa ‘Cay Expres. In aii, be ate war dicty ‘lompile he convention cee, the largest pace {alle fr convenes nd mar exteramen {Sela pct ae io ay ai bat ext oe. 1 ‘wu caved ta ter wat aber cai ia {own Fehopssot conceal hd ay proves {oe oe of the mst diflet t senble, ‘By 1950, everyone an his nce hd ed, a he rerlt wat Toga mete—fragmened owners, ‘reaping greens, dips over pts, eat ‘nda ucla, od wring ans Te tat ol Be se scene anatase compen ‘auc sf ual Every any and el esate Soke Tpke wih ld me tout hat ealy ‘ranted to tld etn te Ade Cy be far ener off prchasng «ae Gat was aly sem ested to the dic, bat wat convinced Pst of al aways belle a gl afer best econ, if you can get at reson pice Second, I hive an amos perverse anacioe t complied el, part tease hy ted be ae Inresing, ot aio Beene tis mow Ml you cat (goo pice on fat dea ad Tied wo semble sane ste bck i 1976, ning Th gn te Bale 201 the sory probably woud have nen very ret A pin ha et ob myhing In New Yor, db oe relly Enew win Iwan Bat by 198, th the Hyatt unde consucio, ad th Trump Tower peoetsancanced, had ach higher poe sd fot moe cei. When you're negsing eit ope whave been promise te we a af does tines nd gate ating reba "To it comiael ofc lege pec, ch ome ‘orn by difestinveuent grup, wells 8 Ni donee nal! homes weed Uy ini ine ‘gat umes, Te hey © pting the dea oper ‘skin ever) pre he el comtnget 20) [ting ll fhe aber. The oly chance of bung fhe gat fciyYenisoned was wo pat ote the ‘tole st The thing I wanted do waive Tet of money td the find apelin end by one Blot ner who Dade the vale of entling te fin pce in pez "Tha ut hapened 0 Bot Gane, the se ‘ext dor. This ay, andere te resting ae of th eafined ting tee meas 8 singly ae that Gaccioe seer managed parte Even it he'dgutee nnn, be would have al 8 po em. nie spending $30 milion or S40 ion ma lain, lamorens ne fy ling ‘Warond a rong fverom stack. Instead Tat out leverage my realy. Iw the owners ofthe ts hat I wah pep to make fae da, ond at nl he ers Reo me, ‘sping follow toe, {ped ot hat hadsmog ck end whe came developing pops (9 Tab suggested tt Tight be te oxy person ‘Sound ho sl had he icin to pt deal (epee al I hey cule cme wan apeeoent wh me, Ti, they might be ing ont pert, {or may yeast come: "The mar prt of he del was forthe de ge paral on he it.The pups tat wed hem Wee ows as SSG, Magnum, aod Newoor Hl end ego with th eincialofeach op mp ater tan eying © pce te pices stig, 1 fought very long ler ith pine to pare at er date My seg” was 1 heey) pet lavestnet down, anda to 0d seeking mar fawcig at tine when banks were way abot ‘Nae Cay. In the cave of ees, col cary he oes mill, My pick was vey ape I wun {pred uy them Oa, guy ad ces. They ia Fem al copete ith ea! with ach er "ata cnn could we umaancus. They a bad te op the ewes dey were mang sgt cc ‘ater over pie ate 0 jit el oF Kase the la wat et ved: down te end, 1 eal mars, ‘he ropes Nout ought were the dvi aes hed cal pople to ept ytal, cue may of toe we were peti with wert Siena who spss voy med Engh nd werent tool to deg wih ewes Ober developer a paid upto Silom fry plats in stp os Sons. Bee tines ha tamed bal, Twas Blew mtn Th ang he 2 chase pal of te Noses a ch moe mt ee By Jay 1990, we ha all te pce ia ple remember closing ay very wel: 'We had aged ‘Sruttneoa clorings, begining 08 Priya ‘on, ein of os of ow eens Ae (Ci. The conings ent on aun he clock ok ‘weit hou blo everyting war se Seed AL that point, we bad 3 oof of people ‘Sion dio fom existe bet cot te tate a Aduatie Cay. ‘Before T could ove fev, 1 sil had 10 et ‘soca. ariel apa, and lieing 6 in pee. More tngrant, had to Geide eter he timing war Fit to wd his age Prec Fema Tt fl prose 0 make ay {tk decisos twas we ht I ad seve lon la nvesed—incaing lye es, rnin ‘chica dwving, sa oes, and purchase oo ‘se of and. Bat na ery cof a wand se, Td pet grea del mre for han Ppa ‘Tas ar alae buyers fer the bs Te he entine, my fat pity was wo at I cease th Csns Cont Caio. lowed ‘Aan Cy cll toa to know tht he es process could be very long very iin, and very Caprese "hyo a Hugh Hear fr exam, were ane soe ora exe berate company ha alely pel bie eweay yeas err In er 1 et 2en charged with crime Even 30, M8 ease was eid. The tne ofa who crm cxamind Heer ‘i tered ht ever! comme ods ed Het’ deren adsl on the wie td Newhouse family fr whom bd dose at of woe. ave peat pet forthe Newhouse, at whet et mini igo ie Ba + 88 Nick, 1d is ye He was probly thy a the ‘ime, tte looked yeas younger. The fs ing ‘aid io Nik was “Look im jut not re ger Yew you ca ne ig rt hestands Sta nd ty fis, 1 ew, wee any fer new evieoe tt Adee Cay wo sl god Imveamen Because my cei + mje bale 1a tee cat, was cofieot tt state and {eel oes wou be epive ty eonsrctig ‘mcs bt! ix AlCl" wast be ie pation of pleating wih joe. A the very eat ase wo del aoe among ep al wih ners raking te ret werk "By sine, trough yb Rabe oad 1 work with me onthe eject Unlike me, Raber (citar rating om codes work oa Wal ‘Sheet pets a wy of ting ot om wd Be family tow. He Sared in corporate ance Kidde Peabody. Thee yes a, mae 1 asi Rest, and for he next Bie Jer dcop rel ceuse face work Fly be moved w Shean aed Rhos, whee be a up el este Gnas (pop anda yer sce unt eed me ‘ok tt alway med a etal hed ome beck wo th fen be ‘anc Cy wat the pect opportunity. was ‘ining The ing he aa 207 And by the mex day, he'd gre tke overdo ‘ry espns fo Ate Cy. Aro ht ngs, ta eat we'd bth go freeing, On a Feary moming in 198, Rober, Nick Ris, tnd I dove to New leney fer 8 mewig wih the merey general of New Janey tad te heal of ‘peng cfrcrmet. Twas vey rapa, bt Iwas ‘lb very tant I sid ht Iwas prepare 0 make 2 mor ivesmat i New ‘wn moe at carport mone)—and that PS aeady ives se milion dlrs en my Boardwalk se, What con sere me Id, was tat New Jersey had seq 8 ‘eptaton for mang ery i fray evel ‘rt do bans inthe pamiag area. Less ‘igaioes hd. dgaed 9 for eigen on ta ‘mee Mich I wad ul a et cso toe ‘Sea si semble, had very mes "lets tsies i New Yo and wa or th ‘lingo wale say from Aan Cyt ep ces proved be no dca ro tne cons ‘Te btm line, coche, was tt ie ne ‘Wim tye meney—er ga cane nT gue a decison one wey othe er omy ese ‘The ey genera Yo me, No, Mi. Tramp, you're mot right about New Janey. The enig ‘ces can werk ee eft ean ie yo any ‘amis abut the ouone of Jou ivesiaon, We ‘may find out ht you're not Ieee What Ic ‘omis is hat f you cooper fal, wel ge 900 {2 anwer one wy oh the a mo” Tenjumped ck in Wel Cakes 2 ear" Ts, then Pn nt of be. Tm prepared 0 eopeat ly tu Tn oo oie 1 i wound wi Sing sy thnk waiing or wwes"” The ato eer node, ad sector ped. Iwas clea ‘Gait mow wae cr time, dy woul ry ed meet "The nox thing we id wa it down wih the sermon ofthe Cano Cone! Commision sa a (er bl «casino, you nel appro om every ‘hing fom rom ste © casno ijt, fom te homie of erat 1 the siz of he bec (ar ineaon was provide the ers wih de lo ning lam an citer nang wel ance of our contracting, 50 tat blow we Bo are uiing they'd hae a cane 1 review Ou plan sl x what chnge hy wate. ‘tier operton-—experenal ring cans, at ot i Bling frm ba’ Dt wis a Fann oh et ects pad ope, any began contacto tire) ota pporabony 1 fave the regu: show up and No, hie oom i too ml" o "No, th oe ‘machine ned be re een fhe” Frm ng xperence, [brow that micasiucton tages a ‘remy con an perp he Key res ay ‘mar projects aller geet Overs cing The lg a te Bena = 209 ‘Wah so many repos and relatos wo sty, we hone major vantage he fat hat we ro arcana. nat ge pobbe copa, tng sn enver ts queso rei gang tg seven Inj of ezctves, nt of wom we pert fie fi poe. In oar pz, yon wih ‘qe could bing it del 1 te and Bt at wer immedi. Tha peel why ve bes ‘Bie at vo mach acer tan my compet ot = ‘many dels Sie enough, te paning division coded is Inveigon sod Smet i rept on Ocber 16, 1961, nearly 2 monte foe ey they began ‘They Bad Hed up to tir word. Banke Je, bah Robert Ip oboely ce il. The Drie of Gaming Enorement recanted hesing bo ae (My cual esing rng wee scaled for seve mont fer the enforcement vison report ‘ras comple the eaatine, we mange al {he ecessary apron or or costrton. Among {hea was prion fom the cy wo bul ky conecon between car fc andthe coavenion ‘ent next doce: One consequence wa we cou "prof ar ait ve tera a a ed wp ih oe of te biggest hws in own on oe of the Aimar it Unite te owner of mary of the ‘ovat ls, we oe ot roms an ean ‘arf he ocean ‘With wich teil vews sr thi, why no tke matin adage of ea? ‘The woe fe we worked on wat fing