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

the lobby entrance to create soaring ceiling heights and adorned the
floors and ceilings with matching marble slabs from one of the finest
quarries in Italy. The heating and cooling equipment and the electri-
cal and plumbing systems were upgraded to those found in new
construction. The old elevators were replaced with new cabs and
controls that were state of the art.
Third, Trump had the electrical system reconfigured to take
advantage of two separate power grids each coming from separate
substations. This was used as another exclusive selling point—a
breakdown of one substation would not blackout the building. For fi-
nancial firms on Wall Street, this is a key benefit.
Fourth, Trump applied for and received tax abatements that were
available for owners of downtown property willing to undertake ren-
ovations. Some of the tax savings could benefit the tenants directly,
thus reducing the cost of occupancy. He also was able to convince
Con Edison to supply power to the building at a substantial rate re-
duction which he could pass on to tenants. These exclusive bene-
fits—not offered by other buildings in the area, were incorporated
into the marketing campaign. The result was a high rate of occu-
pancy at rental rates much higher per square foot than competitive
buildings in the area.

PRINCIPLE 2: DON’T BE MISLED BY THE
AURA OF LEGITIMACY

The “aura of legitimacy” traps all who are unaware of the danger it
creates. It is the tendency of people to believe things they see in
print, or spoken by the media or some other apparently authorita-
tive source. It is insidious and influential in affecting the decision
making of all people under its spell. Here are some examples of how
it works:

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