in , ,

The Trump Family: A Saga of Ascendancy and Decline in New York’s Spotlight

The Rise And Fall Of The Trump Family's Reign Of New York

“`html

The Trump family’s presence in New York City has evolved from a reputation built on luxurious constructions to a significant role in U.S. politics. Donald Trump, the family’s most well-known figure, secured the presidency in 2016, marking their notable entry into politics.

Before entering the political sphere, the Trump family had made a name for themselves in New York through their extensive real estate business, the Trump Organization. This enterprise, based in NYC, includes a variety of successful ventures such as hotels, golf courses, and residential properties. Most members of the Trump family also grew up in New York.

Nonetheless, their relationship with the city has deteriorated. Former governor Andrew Cuomo commented on Donald Trump’s declining popularity in the city, stating, “He is persona non grata in New York City.” This article explores the rise and complex decline of the Trump family in New York.

Friedrich Trump laid the groundwork for the family’s real estate ventures

The Trump lineage in New York traces back to 1885 when Friedrich Trump, a German immigrant, arrived in Manhattan seeking greater prospects. Friedrich started with humble ambitions; as a biographer noted, “He didn’t know English and wasn’t highly educated.” Over the next twenty years, he tried various business ventures and managed to accumulate some wealth.

Friedrich maintained ties to his homeland, visiting Germany occasionally. It was during one of these trips that he married Elizabeth Christ in 1902. They returned to New York and began their family, welcoming their first child, Elizabeth, followed by Fred and John in the coming years.

Friedrich took a major step in establishing their real estate business by buying a property in Queens in 1908 and renting it out. Unfortunately, he passed away from influenza in 1918 at the young age of 49, cutting short his dreams.

Elizabeth Trump and Fred carried on Friedrich’s legacy

Following Friedrich’s death, Elizabeth Christ Trump assumed control of the family’s emerging real estate business, managing properties valued at over $31,000. Initially named “E. Trump,” the business was later rebranded to “E. Trump & Son” when Fred began to take an active role in the operations.

While too young to contribute immediately, Fred eventually dove into real estate as a teenager by taking on a local garage project. He later put together his first home with an $800 loan from his mother, selling it for a considerable profit. Fred went on to build a string of homes and establish a clear pathway within the real estate landscape.

Fred Trump became a powerhouse in New York’s real estate market

Following his initial successes in real estate, Fred Trump was driven to take on larger projects. Throughout the subsequent decades, he became a powerful figure in New York’s real estate market, completing significant developments such as the Trump Market and constructing numerous affordable housing units for lower-income families in Manhattan.

This expansion was bolstered by federal housing loans available during and after the Great Depression, allowing Fred to assist veterans seeking homes after the war. Notable developments during this time included the Shore Haven and Beach Haven Apartments in Brooklyn. As highlighted in Gwenda Blair’s “Three Trumps: Three Generations That Built an Empire,” Fred became a multi-millionaire, solidifying his legacy in the real estate landscape of New York.

“He pioneered what many considered an impossible market,” said Julia Vitullo-Martin from New York’s Regional Plan Association, referring to Fred’s commitment to maximizing profits through affordable housing. Beyond the Shore and Beach Haven projects, Fred also developed Trump Village, which remains one of his hallmark achievements.

Investigations into Fred Trump’s Business Practices in the ’50s and ’60s

In 1954, Fred Trump came under federal investigation when allegations surfaced that he had manipulated financial figures to gain from government-sponsored building projects. The Senate Banking Committee probed the matter, claiming that he and his associate, William Tomasello, inflated costs of their Beach Haven Apartments project by around $3.5 million.

During the inquiry, Fred confessed to spending less than the loan amount he received but defended himself by asserting he had not taken any of the surplus funds. “I have never drawn a salary the three years that Beach Haven has been operating,” he stated to the committee. Consequently, Fred faced restrictions on obtaining future federal loans.

More than ten years later, additional scrutiny arose when the New York government investigated claims of Fred inflating loan amounts for personal gain. Charges included excessive fees for a truck rental and tile scrapers, calling into question the legitimacy of his successes. Despite these challenges, his son, Donald Trump, would later take over the business and shift the narrative.

Donald Trump’s Luxury Buildings Faced Backlash

After completing his education at The Wharton School, Donald Trump joined his father’s real estate firm, rapidly acquiring the necessary skills in the industry. By 1971, he had risen to the position of president, marking a transition for the family business from affordable housing to more lavish properties.

This shift faced criticism, as many believed the emphasis was on ostentation rather than quality architecture. “To me, these buildings don’t quite register as architecture,” remarked critic Herbert Muschamp in The New York Times in 1999, suggesting they were more about wealth than design.

Among Donald’s prominent projects was Trump Tower, acquired in 1979, which showcased his lavish taste with its opulent, Versailles-inspired penthouse. As Donald’s real estate fame grew, so did perceptions of him as someone with an unquenchable thirst for status and distinction, as described by Muschamp.

Donald Trump Broadened the Family’s Real Estate Empire

As Donald Trump entrenched himself in the family business, he sought to expand their real estate holdings, shifting focus from Brooklyn to Manhattan. One of his first major undertakings was in 1978, where he collaborated with Hyatt Corporation to pursue new opportunities.

“““html

the Commodore Hotel, which was facing difficulties, underwent a significant transformation. It reopened in 1980 as the Grand Hyatt Hotel, catering to contemporary expectations. However, in 1996, after 17 years of partnership, Donald Trump sold his share in the hotel for $140 million.

Building on the success of the Grand Hyatt, Donald made further high-profile property purchases, including the historic Plaza Hotel for over $400 million in 1988, with plans to revitalize it. Nonetheless, the Plaza Hotel struggled economically and ultimately went bankrupt in 1992. Reflecting on this, Donald remarked to The New York Times that he viewed the Plaza as a valuable asset akin to a great painting.

Apart from his hotel ventures, Donald, an avid golfer, diversified his investments into golf courses. Since 1999, he has acquired 12 golf courses in the U.S. and four internationally, including locations in Scotland, Ireland, and the UAE.

Donald Trump’s businesses faced multiple bankruptcies

Despite Donald Trump’s numerous business achievements, he has encountered significant failures. One notable example is the Trump Taj Mahal, a casino in Atlantic City that he launched in 1990, boasting it would become a world-class destination. However, it filed for Chapter 11 bankruptcy a year later, burdened by almost $3 billion in debt, according to The New York Times.

In 1992, Trump also declared bankruptcy for three additional businesses, including Trump Castle, Trump Plaza, and the Plaza Hotel, due to unmanageable debt. A dozen years later, in 2004, he faced another setback when Trump Hotels and Casino Resorts, a holding company, filed for bankruptcy.

In spite of the financial troubles, Donald maintained an optimistic perspective. He claimed that Trump Hotels and Casino Resorts had performed well under the circumstances, stating, “I don’t think it’s a failure, it’s a success,” during an interview with NBC News.

Trump University was a major failure

In 2004, Donald Trump partnered with Michael Sexton and Jonathan Spitalny to create Trump University, aimed at offering real estate courses both online and in-person. Donald claimed the university was about sharing knowledge with aspiring businesspeople, stating, “If I had a choice of making lots of money or imparting lots of knowledge, I think I’d be as happy to impart knowledge as to make money,” as reported by The Washington Post. The institution, however, shut down after just six years, failing to meet its promises.

In 2013, the New York Attorney General Eric Schneiderman sued Donald and Trump University for $40 million, accusing them of fraud for not delivering effective real estate training. He explained that students were misled by flashy motivational materials that didn’t result in real learning opportunities, according to an interview with ABC News.

Additionally, former students filed class action lawsuits against Donald, seeking refunds. Although he initially resisted, he later agreed to a $25 million settlement after winning the 2016 presidential election.

Donald Trump and his children faced legal troubles in 2018

In October 2018, Donald Trump and three of his adult children, Donald Jr., Eric, and…

“`

Trump Family Faces Lawsuit and Declining Popularity

Ivanka Trump and her family are facing a class action lawsuit for allegedly breaching anti-racketeering laws by misleading investors with fake business opportunities. The lawsuit claims that the Trumps knowingly received improper payments from dubious businesses and promoted these ventures to mislead potential investors.

In defense, the Trumps’ attorney, Alan Garten, labeled the lawsuit as a politically charged attack, alleging it is merely an endeavor by political adversaries to undermine the former president. He stated, “This is clearly just another effort by opponents of the president to use the court system to advance a political agenda. Their motivations are as plain as day,” in his remarks to The New York Times.

After an initial attempt to dismiss the case and move it to arbitration, Donald Trump, his sons Donald Jr. and Eric, along with Ivanka, consented to be deposed in 2022, four years following the lawsuit’s initiation. Ultimately, the case against Ivanka, Eric, and Donald Jr. was dropped in 2023, leaving only Donald Trump as a defendant. After lengthy proceedings, U.S. District Judge Lorna Schofield ruled for the case’s dismissal, asserting that it is not appropriate for federal court given that the claims are rooted in individual state laws. Thus, she encouraged the plaintiffs to pursue their claims in state courts instead.

The Decline of Trump Tower’s Reputation

Following Donald Trump’s election in 2016 and subsequent presidency, the Trump family’s standing in traditionally liberal New York City began to dwindle. This shift in popularity also affected the image of their renowned Trump Tower. A statement made by TB Alliance in January 2021 indicated their intention to vacate Trump Tower, revealing that they were considering relocating from 40 Wall Street.

TB Alliance’s decision was quickly followed by the Girl Scouts of Greater New York, which also announced plans to exit Trump Tower. CEO Meredith Maskara stated, “As a matter of very high priority, our organization has been exploring options for getting out of the lease and the building,” as reported by Business Insider. However, the decline of Trump Tower was already evident before these exits.

A report from 2019 by Bloomberg indicated that condo owners were eager to sell their units in Trump Tower due to global inflation’s impact. The building’s occupancy rate had dropped from 99% to 83% in seven years. Real estate analyst Edward Son remarked, “If I were looking for office space, that would be a building I’d want to avoid.” While economic conditions played a role in this decline, it is clear that Donald Trump’s presidency and his falling popularity significantly influenced the departure of tenants from Trump Tower.

The Trump Family’s Shift from New York to Florida

Despite their long-standing connections to New York City, the Trump family has largely relocated to Florida, seeking a fresh start in the Sunshine State. Donald Trump announced in September 2019 his decision to make his Palm Beach resort, Mar-a-Lago, his primary residence instead of Trump Tower.

In a tweet, Donald expressed his affection for New York while lamenting the adverse treatment he received from the city’s political leaders, stating, “I cherish New York, and the people of New York, and always will, but unfortunately, despite the fact that I pay millions of dollars in city, state, and local taxes each year, I have been treated very badly by the political leaders of both the city and state. Few have been treated worse.” Following suit, both Donald and Melania Trump designated Mar-a-Lago as their new primary home.

The trend of leaving New York did not stop there; Donald Trump Jr. and his girlfriend, Kimberly Guilfoyle, moved to Jupiter, Florida, purchasing a $9.7 million mansion in 2021 due to the unfavorable situation for them in New York. A source indicated, “There is no way they can stay in New York. They’d be tortured in the streets,” revealing the family’s struggles with their hometown’s reception. Meanwhile, Ivanka Trump and her husband Jared Kushner have also settled in Miami, reportedly enjoying a peaceful lifestyle there, according to a friend who remarked, “They’re really just settling into normal life and really enjoying it,” as shared by People.

Report

Check This:  BUZZ: Tom Brady ‘still working’ on being ‘present’ on first Father’s Day since Gisele Bündchen split

What do you think?

125 Points
Upvote Downvote

Leave a Reply

Avatar

Your email address will not be published. Required fields are marked *