Wait a minute, the president of the United States owns property that is subsidized with $$$ from the federal government, specifically HUD, whose cabinet head he selected? This is getting beyond silly season in D.C.
4
I see nothing wrong for DT in this case, unlike other deals he was trying to make in Russia for example. It just reminds me that if we wanted a business person to be president then Warren Buffet would have been a much better choice. He has ownership in so many entities there would be no way to unravel them, but that's academic now anyway. Plus, Warren already showed us his taxes and has a clearer understanding of how government works. [His father was actually a member of the House of Representatives many years ago.]
1
isn't it a WAKE-UP call to congress to ORDER trump to follow
the procedures for divesting himself from all his holdings ?!-
or - do we have a KING in the WH ?!
seriously, the extent to which Congress has allowed trump to
get away with all kinds of misdeeds has been staggering.
makes you really wonder: who's Government is it ?!
who's constitution is it?
the procedures for divesting himself from all his holdings ?!-
or - do we have a KING in the WH ?!
seriously, the extent to which Congress has allowed trump to
get away with all kinds of misdeeds has been staggering.
makes you really wonder: who's Government is it ?!
who's constitution is it?
4
the purchasers are predator equity and this will not end well for the tenants no matter how much "beautiful pr" is used to describe the sale
5
In as much as Mr Trump seems to have resolved the conflict of interest problem in his favor and no one, not the congress, not the courts and not the public appear to be willing or able to challenge him, the 14 million dollars mentioned is no more than loose change compared with what he will be raking in from his enterprises in Saudi Arabia, the Emirates and any number of other countries wanting a favor or two from him while he is president.
5
Failure of the spineless GOP-led Congress to guarantee President Trump divested himself from all business ventures potentially conflict with government actions he can influence is further proof that our democratic America is becoming a plutocracy.
So SAD!
So SAD!
5
I love to see the fruits of capitalism trumpeted!
2
Pardon us for our knee-jerk assumptions. Then again, I'd like to see one of your numbered explanations for the Post Office in Washington, D.C. That should be good. Then again, people like Chuck Schumer & Nancy Pelosi are "working behind the scenes," to get some answers. Trying, no doubt, to ensure they don't rock any boats. When has either of them ever screamed bloody murder about this president? And where's Elizabeth Warren?
To say this is the most dysfunctional government in American history is the understatement of our entire history. Republican voters are totally brainwashed and democrats have given up. It looks like things are going to just stay this way, perhaps until the republic falls. Right, Mitch? Right, Paul?
To say this is the most dysfunctional government in American history is the understatement of our entire history. Republican voters are totally brainwashed and democrats have given up. It looks like things are going to just stay this way, perhaps until the republic falls. Right, Mitch? Right, Paul?
1
what is he using for money - this time?
1
As absurd, conflicting and unbecoming as this scenario is, the biggest problem is that his base-bots see no problem with this.
7
WE can only hope that Pres.Pence has more ethics than the Don!
1
Gee that is a conflict of interest!
All the tax benefits and profit go to the private investors while Virtualy all the money and Risk comes from the government..... and at the end of 22 years the investers will kick the tenants out and make millions.... seems all the benefits should go to the people who live there and it should stay affordable permenently.
7
The money Trump earns from his violations of the Emoluments Clause should go toward Harvey, Irma, and other natural-disaster relief.
6
Yes
1
Really, who cares ? Minority owner.....puhleez.
And what taxes will the President be paying on this?
3
Starrett City to be affordable for another 22 years?
Then what happens? Owners work to get residents out?
Residents just lose their housing?
Then what happens? Owners work to get residents out?
Residents just lose their housing?
4
The sale of Starrett City is legitimate news even without Donald Trump having a small percentage ownership.
Too bad for Trump that he is incapable. Incapable to let go and to shelter his assets in blind trusts.
It is beginning to go beyond humorous how much more difficult he makes his life and increases the damage to his brand.
This should have a been a basic business story (even if Disque Deane, who was also a partner at Lazard Frere, had a wolf of wall street in his office).
Big deal that Fred Trump at one point owned 20% of this humongous Mitchell-Lama property.
That the reporter could not name the program, which produced housing a substantial amount of housing all over NY State, but could detail the original finances is rather strange.
Fred Trump developed housing under the Mitchell-Lama program when Nelson Rockefeller refired up the program. It created the golden spoon that Donald dined with.
Too bad for Trump that he is incapable. Incapable to let go and to shelter his assets in blind trusts.
It is beginning to go beyond humorous how much more difficult he makes his life and increases the damage to his brand.
This should have a been a basic business story (even if Disque Deane, who was also a partner at Lazard Frere, had a wolf of wall street in his office).
Big deal that Fred Trump at one point owned 20% of this humongous Mitchell-Lama property.
That the reporter could not name the program, which produced housing a substantial amount of housing all over NY State, but could detail the original finances is rather strange.
Fred Trump developed housing under the Mitchell-Lama program when Nelson Rockefeller refired up the program. It created the golden spoon that Donald dined with.
1
So what? President Trump is a partner in a brilliant business deal which he reaps a profit. It is called "business" and "capitalism." There is nothing wrong with a deal (if legal) if one reaps a profit.
1
As a matter of fact there is something wrong with it when that profit is all based on government subsidies that you are opposed to for everyone else but yourself. Then its no longer called "business" and it is called hypocrisy, and when people don't recognize that its called ignorance.
3
This is just one of the many, many reasons why Trump should have divested himself of his business interests before taking office. He didn't, and now corruption is everywhere in his administration. He has no way to avoid these conflicts of interest, even if he wanted to.
11
When Trump entered office, lawyers and the media called for him to turn his assets over to an independent trustee. Trump refused to do that and there was claim of foul play. But the use of a trustee, which sufficed for Obama, would never have worked for Trump. And this case is a prime example why.
Whether Trump partially owns Starrett City or turned it over to a trustee makes no difference. He still knows when it is up for sale and what he can do to profit. Profit to the trustee still accrues to him. It is no different from personal profit. And altering government policy to affect profitability is equally wrong whoever is the name owner. Bottom line, whether or not his name is on the deed, he can still influence the sale. Simply stated, he has the same financial interest whether he directly owns the complex or not and he has the same potential conflict of interest.
The problem isn't that Trump has refused to turn over his assets. The problem is that his assets inherently give rise to conflict. When you elect a real estate magnate with a net worth of $10 billion dollars, conflicts are inevitable and there is no reasonable way to make them go away. So what matters is whether Trump corruptly profits from his assets, and the media and the lawyers should be focused on that.
Whether Trump partially owns Starrett City or turned it over to a trustee makes no difference. He still knows when it is up for sale and what he can do to profit. Profit to the trustee still accrues to him. It is no different from personal profit. And altering government policy to affect profitability is equally wrong whoever is the name owner. Bottom line, whether or not his name is on the deed, he can still influence the sale. Simply stated, he has the same financial interest whether he directly owns the complex or not and he has the same potential conflict of interest.
The problem isn't that Trump has refused to turn over his assets. The problem is that his assets inherently give rise to conflict. When you elect a real estate magnate with a net worth of $10 billion dollars, conflicts are inevitable and there is no reasonable way to make them go away. So what matters is whether Trump corruptly profits from his assets, and the media and the lawyers should be focused on that.
3
Except WE DID NOT ELECT HIM!!!!
1
The real issue is not the level of profit for the sellers--there are many ways to measure such "profits"--but the long term sustainability of Starrett City and other such complexes. All real property--residential especially--needs recapitalization from time to time to allow for major capital improvements and replacements. Starrett is about 40 years old, so it's a bit behind the curve in what's normal for such a project--about 30 to 35 years--but not alarmingly so. This sounds just about right. Bear in mind that there is a major difference between real and nominal dollar amounts. It's not as if a 1974 dollar and a 2017 dollar are the same thing!
2
A couple of points:
1. The majority owners have been looking to unload this property for a long time. The earlier deal, for almost twice the money, was properly vetoed by the concerned authorities. That a minority owner is now president shouldn't affect a deal that would have otherwise been appropriate under the standard set by the earlier rejection.
2. This deal is for about $145,000/unit. Not a high price, and in line with profit expectations for moderate income housing. If anything that militates against the idea that there's an issue here.
3. If a deal for the 1.5 billion price previously rejected by HUD and local governments were to be floated now as acceptable then yes, there would be an issue. Bigly.
1. The majority owners have been looking to unload this property for a long time. The earlier deal, for almost twice the money, was properly vetoed by the concerned authorities. That a minority owner is now president shouldn't affect a deal that would have otherwise been appropriate under the standard set by the earlier rejection.
2. This deal is for about $145,000/unit. Not a high price, and in line with profit expectations for moderate income housing. If anything that militates against the idea that there's an issue here.
3. If a deal for the 1.5 billion price previously rejected by HUD and local governments were to be floated now as acceptable then yes, there would be an issue. Bigly.
16
How is this NOT a conflict of interest?
34
How is it a conflict of interest, is Trump the Governor or Mayor?
If I inherit a block of stock and the company agrees to a merger, how am I in conflict with the covenants of my elected office? Does Trump have a controlling interest ? Does Trump exercise control over any part of the decision making process? With less than a 20% interest, do the math !
If Trump buys an MTA backed bond for subway capital improvements does that make him responsible for the system? Does anyone wonder why conservatives find the liberal left devoid of intelligence!
If I inherit a block of stock and the company agrees to a merger, how am I in conflict with the covenants of my elected office? Does Trump have a controlling interest ? Does Trump exercise control over any part of the decision making process? With less than a 20% interest, do the math !
If Trump buys an MTA backed bond for subway capital improvements does that make him responsible for the system? Does anyone wonder why conservatives find the liberal left devoid of intelligence!
You obviously aren't listening to President Trump. "Conflict laws don't apply to the President." Trump translation- "If it's not strictly illegal, then I can do it, and who cares how it looks!
2
Trump owns a minority share in Starrett City. According to the article, he & other family members own only 1/5. So - what this article neglected to report is who owns the other 80%. Is it in many hands or a few? If many, then Trump's portion has more weight which could underline a conflict of interest.
Also - tell us more about the buyers; what's the make-up of the Brooksville Company? Is it foreign owned? Will terms of the sale guarantee residents ability to remain in affordable housing long-term?
Poor reporting on the part of the NY Times. Probably just published because Trump's name is involved.
Also - tell us more about the buyers; what's the make-up of the Brooksville Company? Is it foreign owned? Will terms of the sale guarantee residents ability to remain in affordable housing long-term?
Poor reporting on the part of the NY Times. Probably just published because Trump's name is involved.
16
...you have this upside down. The fewer owners gives trump hand more weight. As an example if there there are two other owners each owning 49.5% then a 1% interest can sway a vote that the two larger owners don't agree with.
1
Forget DACA, North Korea, natural disasters.. this is more in the trumpian wheelhouse! A shady real estate deal.
22
"America knew I was rich with big league business deals when they elected me! They should have just assumed much of my wealth was in small shell corporations and ownership interests in random buildings with complex lease agreements beholden to difference mechanisms of the federal government, of which, I am now the chief executive."
Grifters gonna grift.
Grifters gonna grift.
27
Section 8 housing is great for the poor in this city so who cares if wealthy partners pocket millions......
5
I hope this receives a thousand comments, but all I can think, given the normalization, and fatigue resulting in his chronic, remorseless criminal behavior is: Well, yeah.
I know he has vehement supporters who will tolerate no dissent, but the rest of us are exhausted.
I know he has vehement supporters who will tolerate no dissent, but the rest of us are exhausted.
37
Let's just take up a collection of all the money in the world and see if that will get him to leave office.
20
Trump has already set one record: The MOST corrupt U.S. president in history.
55
Will the federal government get anything out of the deal?
10
The President is divesting his interest in the development.
I was under the impression that his haters want him to divest his portfolio. So, what's the issue here?
It's not like he's getting $1 billion. In the scheme of things, $14M is chump change for Trump.
I was under the impression that his haters want him to divest his portfolio. So, what's the issue here?
It's not like he's getting $1 billion. In the scheme of things, $14M is chump change for Trump.
5
The sale of the property should have to wait until Trump is no longer president. His administration should not be able to sanction the purchase, period. Where are our the rules anymore? No decency.
34
Although lacking in the sort of investigative facts that a real researcher would have made, focusing instead on trying to beat down Trump, this whole project history is (would be given the research) a fantastic example of how ordinary people have little to do with how our society moves forward or is balanced. They are pawns in the hands of banks, investors, tax accountants, developers and city administrators.
7
So Donald Trump is not a slum-lord, but an investor in quality, properly-maintained, housing for lower income individuals and families.
Given New York cities sky-high housing prices it is refreshing to know responsible landlords still exist.
Given New York cities sky-high housing prices it is refreshing to know responsible landlords still exist.
8
1 - How would "lower income" individuals afford $145,000 for a condo there?
2 - The President is supposed to not be making money from his business deals while in office - per the Constitution.
2 - The President is supposed to not be making money from his business deals while in office - per the Constitution.
2
True, but Starret City is more of a housing project than safe housing.
Merely the latest evidence of utterly unappreciated conflicts-of-interest and the sort of sleazy profiteering that characterizes the worst, more corrupt kleptocratic oligarchies.
12
$14 million dollars is pocket change for multi billionaires like Trump and Clan Trump. But, add this transaction to the hundreds of millions of dollars made for Trump during the 8 months Trump has been occupying our WH, and I do mean occupying. It was more of a coup than an a fair election.
Conflicts of interest and constitutional law have no meaning to Trump, he is above all laws of the land as president, and will be happy to tell you that. Corruption is a way of life for those with no morals, ethics or principles. They find those to be excess baggage to carry around and stumbling blocks to amassing great personal wealth and power.
How they all sleep at night is beyond me, but then Trump doesn't. That is when his itchy twitter finger gets the urge to tweet. Evidently Kelly shuts his TV off at 8pm and sends Trump to bed as the tweets have been minimal.
Conflicts of interest and constitutional law have no meaning to Trump, he is above all laws of the land as president, and will be happy to tell you that. Corruption is a way of life for those with no morals, ethics or principles. They find those to be excess baggage to carry around and stumbling blocks to amassing great personal wealth and power.
How they all sleep at night is beyond me, but then Trump doesn't. That is when his itchy twitter finger gets the urge to tweet. Evidently Kelly shuts his TV off at 8pm and sends Trump to bed as the tweets have been minimal.
15
Still no tax returns for citizens to check conflict of interest. When does that happen? Hopefully, Mueller is on it.
32
Rather than "draining the swamp," he has instituted a kleptocracy -- which was entirely foreseeable based on his campaign of lies and bullying, and his history of racketeering fraud and stiffing contractors. His life is a prologue and epilogue of vice, narcissism, and avarice, and people voted for him anyway.
I am getting nowhere "understanding" the Trump voters. They really are to blame.
I am getting nowhere "understanding" the Trump voters. They really are to blame.
27
and this was supposed to be middle income housing, I went to one of the hearings when the owners were first leaving the mitchell lama program. The residents were there because they were concerned for their homes, the lawyer for the development argues how this poor family who owned it expected to profit only to be stymied by these residents. Little did I know it was the lecherous trump they were talking about.
14
Thank God that the state of New York is using its RICCO powers to investigate these kinds of underhanded deals that seem to follow Trump everywhere. I hope the city of New York is following suit. Business is based on good faith and Mr. Trump is bereft of it. None. I hope we can dislodge him before his antics tank our markets or damages the sentiment that floats our currency.
8
Trump looks at the presidency as the ultimate real estate deal, nothing more. He is happy to BK the entire country to make those much anticipated deals happen.
No one has addressed Trump's conflicts of interest or his being beholden to his Russian lenders and the GOP still isn't willing to so his provenance should not come as a surprise.
No one has addressed Trump's conflicts of interest or his being beholden to his Russian lenders and the GOP still isn't willing to so his provenance should not come as a surprise.
4
As with Stuyvesant Town/Peter Cooper, Independence Plaza and other apartment complexes that were filled with middle class tenants - mostly rent stabilized - this will be another project that won't work financially because the new owners will need to harass too many tenants into leaving so that they can charge higher rents to meet their ridiculous mortgage needs.
Not a good deal for anyone.
Except Trump.
Not a good deal for anyone.
Except Trump.
15
Mr. Trump's father used subsidized housing to steal $15 million from the government. (David Brooks mentioned this here in the NY Times several months ago.) Presumably the president inherited this stolen money.
The glitzy billionaire Trump image doesn't match reality. As noted here, the Trumps own part of Starrett City. Mr. Kushner also owns subsidized low income housing worth hundreds of millions of dollars.
A May 23 NY Times article described the Kushners as neglectful, litigious and cruel landlords--pursuing poor families for years and billing them thousands in extra legal fees, even when the Kushners themselves were at fault.
The glitzy billionaire Trump image doesn't match reality. As noted here, the Trumps own part of Starrett City. Mr. Kushner also owns subsidized low income housing worth hundreds of millions of dollars.
A May 23 NY Times article described the Kushners as neglectful, litigious and cruel landlords--pursuing poor families for years and billing them thousands in extra legal fees, even when the Kushners themselves were at fault.
41
Ihave to reread what's here whichmay not explainnearly enough. So -- will this largely federally subsidized building complex go completely private after 22 years? Is this the best longterm plan for this complex and the City? I think I'd, need a timeline, marked for investments, tax losses benefitting owners, and the defined future uses to understand. Will affordable housing here disappear at a future point? If so, what is supposed to replace it?
The Trumps are disgusting, but this is not specifically their doing.
The Trumps are disgusting, but this is not specifically their doing.
4
Trump inherited his holdings in it. If Trump in your view is disgusting, then what of the other partners? I'll wager there are a sizable number of liberal democrats in that 80 percent !
I don't see why there is a conflict of interest. The new owner is getting the same benefits, liabilities and responsibilities as the old owner so why is this sale controversial?
8
Because HUD gets to determine the legimitmacy of the sale, the leader of HUD being Ben "I have no Government experience" Carson, a staunch DT defender with no actual HUD experience will now be making this determination which could yield DT millions.
22
What else is new? My question would be if they are going to be able to keep it as affordable housing, a commodity in very short supply in many metro areas across this country.
6
I'd like the Times to tell us how Donald T. became a partial owner. Without a doubt, there is a story equally revealing as the one on how he pulls the strings from the Oval Office to his advantage in the sale.
20
Article says that Trump's father was one of 200 wealthy investors in the project in the early 1970s. His 20% interest was later split among his children and several corporate entities.
1
I believe he inherited his ownership interest from his father. What is more troubling is the degree to which the development complex has benefited from the receipt of rental subsidies, flowing from HUD, which (of course) is an agency with a cabinet seat, reporting to the Trump administration. Can someone say: "Conflict of interest"?
Read the story carefully. Donald Trump, along with his siblings, inherited it from his father who was one of the original investors.
The Art of the Deal Chapter XXX: Become President and it is so much easier to make money.
56
I suspect Trump Enterprises, White House, DC, USA, will somehow claim this likely profit as a huge tax deductible loss.
But with the (Royal) Family Values honesty and transparency policies of the Republican Party for its Executive Branch, Administration, we'll never know.
But with the (Royal) Family Values honesty and transparency policies of the Republican Party for its Executive Branch, Administration, we'll never know.
35
The Con Don and his International Mafia brethren strike again. They hate government - except when it comes to robbing us of OUR hard-earned taxpayer money.
The article says, "Starrett City is the largest federally subsidized housing development in the country, and the sale will require the approval of the federal Department of Housing and Urban Development and state housing officials, raising potential conflicts of interest for Mr. Trump and his family. Mr. Trump owns a 4 percent stake in the complex; other members of the Trump family collectively own about 16 percent."
Subsidized with OUR taxpayer money. Now they plan to kick out those affordable rent peons and make BIG profit by selling to foreign buyers under the EB "free American Visas for tax evaders" program.
I can hardly wait to see that smirk wiped off The Con Don's face. A huge piece of tape over those lying, ugly lips would help, too. Open those pearly prison gates and get ready for the Robber Barons.
The article says, "Starrett City is the largest federally subsidized housing development in the country, and the sale will require the approval of the federal Department of Housing and Urban Development and state housing officials, raising potential conflicts of interest for Mr. Trump and his family. Mr. Trump owns a 4 percent stake in the complex; other members of the Trump family collectively own about 16 percent."
Subsidized with OUR taxpayer money. Now they plan to kick out those affordable rent peons and make BIG profit by selling to foreign buyers under the EB "free American Visas for tax evaders" program.
I can hardly wait to see that smirk wiped off The Con Don's face. A huge piece of tape over those lying, ugly lips would help, too. Open those pearly prison gates and get ready for the Robber Barons.
98
Do you comprehend that the subsidy is in place to lower the rent charged to the people that live there? Do you understand that Trump is a current owner, not a future owner who might kick out residents?
The Left has become more irrational and rabid when it comes to Trump that the Right ever was with Obama. Trump could cure cancer and you would complain about all the nonprofit jobs that would be lost at advocacy groups and excess elderly people we would have.
The Left has become more irrational and rabid when it comes to Trump that the Right ever was with Obama. Trump could cure cancer and you would complain about all the nonprofit jobs that would be lost at advocacy groups and excess elderly people we would have.
5
The article clearly states the following : President Trump’s father, Fred, acquired a 20 percent stake. His interest was later split among his children and several corporate entities.
Either the remaining 80 % is held by under taxed liberal democrats who over generations have filled the property with their entitlement collecting relatives. OR by financially astute individuals back in 1974 who saw a great investment opportunity and leave the management of the property to the appropriate parties.
Let's not forget that a substantial number of apartments are rent stabilized and also include section 8 housing. These are the very people the liberal left want in your neighborhood not theirs!
Lastly the group purchasing the property is subject to the same constraints as the prior owners.
The Con here is njglea's outlandish statements! Trump has no controlling interest and does not dictate the terms of the deal. He is merely 1 of numerous investors.
Either the remaining 80 % is held by under taxed liberal democrats who over generations have filled the property with their entitlement collecting relatives. OR by financially astute individuals back in 1974 who saw a great investment opportunity and leave the management of the property to the appropriate parties.
Let's not forget that a substantial number of apartments are rent stabilized and also include section 8 housing. These are the very people the liberal left want in your neighborhood not theirs!
Lastly the group purchasing the property is subject to the same constraints as the prior owners.
The Con here is njglea's outlandish statements! Trump has no controlling interest and does not dictate the terms of the deal. He is merely 1 of numerous investors.
Just add this article and the comments to the category of Trump Derangement Syndrome. I wonder if Trump even knew if this were being sold, given that he is a minority owner and is kind of busy with other stuff.