Donald Trump

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Offline Personality

Donald Trump's father was in the real estate business in New York City. He had accumulated a large number of apartments which gave him a great income. When he was a young man he was sent to Cincinnati to complete the renovation of a large apartment building where the upgrading could be done in a city without rent control and the completed apartments rented at market rates.

Donald Trump completed the project and he was able to sell the property to a local buyer for a very satisfying price just prior to the change in the tax law in 1986 which drastically reduced the value of investment real estate nationwide.

Trump had heard of a trustee for a large trust that owned a number of properties and was having difficulty selling them. When Donald went to see the trustee the man took a liking to him since he was so persistent and just kept hanging around.

The trustee was so impressed with Trump and his ability to continue pursuit of arranging a deal on the properties that he gave Trump an exclusive contract to buy or lease the building next to Grand Central Station.

In the late 1980's Trump's empire included Trump Tower, Trumps holdings included, more than 24,000 rental and co-op apartments, the Trump Shuttle airline, and casinos in Atlantic City, including Trump's Castle, and the Taj Mahal as well as many private homes.

While things were going well for Trump... he was not completely impervious to the change in tax law in 1986 which precipitated the giant real estate recession... he had a myriad of problems which he managed to work out with the aid of the banks he was beholden to.

By 1990 Trump was facing bankruptcy, unable to meet payments on over $2 billion in loans owed to banks. He was able to secure emergency financing at various times but had to give up control of most of his real estate to the creditor banks and gradually traded control of considerable parts of his empire including the Trump Shuttle, casinos, and the Plaza Hotel in order to secure more favorable debt restructuring.

Now that the economy is back up and running and everything has turned up roses for "The Donald"... Trump is referring to himself as " The Comeback Kid"

Since my background is also in the real estate business I fully understand the what Donald Trump had went through. One big difference is that I didn't have a father which got me started in the business. I started on my own by borrowing about $75,000 against my home.

There very few things around today that will allow the average person to really get rich. Real Estate is one of those things. In case you didn't know it there have been more millionaires created because of real estate than any other business.

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