Why Does Donald Trump Say Trump Tower Has 68 Floors When It Actually Has Just 58?
Donald Trump has a history of making exaggerated claims, as evidenced by his public statements regarding the number of floors in Trump Tower. This discrepancy between the reported and actual height of the skyscraper raises questions about his intentions and the motives behind such claims. Let’s delve deeper into the reasons behind Trump's assertions and the implications of his actions in the real estate industry.
The Price Factor in New York Real Estate
Why Does the Ground Floor Count as the 10th Floor in New York?
In New York City, the higher a floor, the more expensive the rent. By counting the ground floor as the 10th floor, this can artificially inflate the perceived value of the property. This practice is not uncommon in the real estate industry, as it allows landlords to increase their revenue by misrepresenting the true height of their buildings.
Political and Ethical Implications
Why Was It Inconsiderate to Make Such a Claim After the September 11 Tragedy?
Shortly after the tragic collapse of the WTC towers in 2001, making a claim about Trump Tower being the tallest building in NYC seemed insensitive and ethically incorrect. Such a statement could have been misinterpreted as an attempt to overshadow the significant loss of life and the ongoing rebuilding efforts.
The Hidden Motivations for Exaggerating Height
Why Does Trump Overstate the Value of His Properties?
By claiming that Trump Tower has 68 floors, Trump can upsell the property and increase its perceived value. This is akin to the way he manipulated the square footage of his penthouse in Trump Tower to appear larger than it was. Such practices are not uncommon in the real estate sector but are still fraudulent and misleading.
Lawsuits and Fraud Allegations
Is This a Deliberate Misrepresentation?
The judge’s ruling suggests that such a claim is a deliberate and knowing act of fraud. Adding 10 extra floors to the actual height of the building serves no purpose other than to inflate Trump’s assets and potentially deceive lending institutions and investors.
The Psychological Aspect
Branding and Psychologically Overcompensating
There is also the psychological aspect of branding oneself as more impressive and powerful. Counting floors as a way to inflate one’s status is a common strategy used by wealthy individuals who are trying to solidify their reputation.
Impact of Phantom Income and Depreciation
Consequences of Misstated Floor Count
If the phantom floors contribute to increased revenue or are used as collateral for loans, then their misrepresentation could have significant financial implications. The concept of phantom income and improperly reported depreciation would be critical in any legal proceedings.
Conclusion
Trump's exaggerated claims about Trump Tower's height reveal a larger pattern of misrepresentation. Whether done through a strategic marketing move or a deliberate act of fraud, his assertions have clear implications for the accuracy of his financial records and the trustworthiness of his public statements. It is crucial for both businesses and individuals to maintain transparency and honesty in their real estate dealings.