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TR U M P STR A TEGI ES FO R R E A L ESTA TE

lease of the property to Trump and to use its right of eminent do-
main to obtain possession from existing tenants;
5. Find a major hotel operator willing to participate in the owner-
ship and operation of the new hotel to give credibility to the cre-
ation of profits in which New York City would share; and
6. Find a bank willing to lend $80 million to cover all of the costs in-
volved in purchasing and developing the property.

This was as complex as it sounds. Something like this had never
been done before.
To jump ahead to the end of the story, Trump pulled it off,
convincing all these parties to work with him, using his enthusiasm,
relationship-building skills, showmanship, preparation, and tenacity.
In September of 1980, the Grand Hyatt opened—and it was a great
success from day one. The renovated Hyatt helped revitalize the
whole Grand Central Station neighborhood in New York City, which
in turn played a major role in reversing the failing, bankrupt image of
the city in the 1970s. By 1987, gross operating profits at the Hyatt
exceeded $30 million annually. Years later, after recouping his mod-
est cash investment in the property, Trump sold his half interest to
Hyatt for $85 million.
Here’s how Donald Trump used critical personal qualities to clinch
that monumental real estate deal. You can use the same qualities in
your own dealings regardless of their size or complexity.

USE YOUR ENTHUSIASM FOR THE
PROJECT TO INSPIRE OTHERS

Enthusiasm is a crucial element of the investment game because your
success depends largely on capturing the imagination and securing

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