Real Estate Investor Magazine South Africa November 2013 | Page 56
SMART MOVES
BY NEALE PETERSEN
“The Greatest Real
Estate Deal – Ever!”
Lessons that put Trump on the map
D
onald Trump’s purchase of 40 Wall
Street in New York City is considered
as one the most successful real estate
deals ever concluded. This is mainly because of
the ridiculously low price paid, the incredible
growth and returns in capital value and the
high yields it produced. The way the deal was
structured is not only a valuable lesson for any
potential investor, big or small, but also a strategy
which can be applied by anyone who has the
desire to be a successful real estate investor.
Today, 40 Wall Street is the benchmark
of how real estate deals should be done. The
transaction played a part in Trump’s rebound
from the brink of bankruptcy to the success he
is today and is also one of the reasons why he is
recognised as a modern celebrity in real estate
investing. Learning, adopting and applying
some of the negotiation principles Trump
applied when he bought 40 Wall Street will
give you a powerful advantage on your own
investment journey.
The main key to success was the ability to
negotiate the deal intelligently after having
done a thorough due diligence.
Background
A landmark in downtown Manhattan, New
York, 40 Wall Street was built in the 1920’s and
was once the tallest building in the world.
Unfortunately, numerous previous owners had
been unable to manage the property successfully.
Ferdinand Marcos, the infamous president of
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