WPCNR MAIN STREET JOURNAL. Commentary with the Super Developer by John F. Bailey. September 29, 2005:  Louis Cappelli, the Super Developer, partner with Donald Trump in the Trump Tower at City Center, said today that the apartments in Trump Tower have appreciated in price from $500 a square foot to $700 a square foot, explaining the appearance of  “approximately 30 units” on the real estate market the last week, as speculators attempting to make money on their investment.  

Louis Cappelli, left, and Donald Trump at the Official Opening of Trump Tower at City Center last week. Photo by WPCNR News

“Of the 241 Units (between Trump Tower and The Lofts at City Center,” Cappelli told WPCNR by phone today, “Approximately 30 units were bought by investors and speculators . One individual purchased eight units. He’s going to live in one and sell the others. It’s part of the game of speculation. About 15% of the apartments were bought on speculation and in a building this size, I’m O.K. with that.”

Cappelli pointed out that of the 34 condominiums now being offered privately at Trump Tower that the speculators would not able to sell or “flip”  the apartments until after they closed with him on them.

“The units in Trump Tower,” Cappelli said, “have appreciated substantially from their opening prices. The speculators have serious upside here.”

Cappelli said he was not dismayed at the surge in Trump Tower apartments placed on the market. “It’s no big deal. The units have gone from $500 a square foot to $700 a square foot.”

Plans to Prohibit "Flip Advertising" at 221. Limit Units You Can Buy.

In response to this speculative fever, Cappelli said he is going to change the policy of how condominium units in his new dual tower hotel and condominium complex at 221 Main Street would be sold. He said he would  limit the number of condominiums any one investor could purchase in his new Hotel and Condominium complex to two,  and if they wanted to buy more than two, they would have to put down a 20% down payment.

Mr. Cappelli also announced that purchasers of units in the new hotel-condoplex would not be allowed to advertise their apartments for resale until after they closed.