TRUMP

Trump kicks off construction process of 90-story Chicago tower

Donald Trump and his famous apprentice kicked off the demolition of the former Chicago Sun-Times building Thursday, where Trump plans to build a glitzy 90-story condominium and hotel tower with units starting at $636,000 — for a 696-square-foot studio.

The Donald waved to an enthusiastic crowd, shook hands and signed autographs as he arrived to watch a backhoe rip into the entrance of the squat, barge-like building on the Chicago River. He continued to wave like a politician through an open window of his limousine as he left about 30 minutes later.

Trump talked about how great Mayor Richard Daley is, how great Trump's architect on the project is, and how Chicago is a "truly great" city that's about to become "a little bit greater with this building."

As he has done in the past, Trump trumpeted the planned Trump International Hotel & Tower, saying it has created a buzz that other construction projects can't match. Where else, he wondered, has anyone ever sold $500 million worth of units even before a site was cleared of the previous building.

"Does this happen when other developers come to Chicago?" Trump asked the crowd.

"No," several people shouted.

Part of Thursday's buzz was the result of Bill Rancic, the Chicagoan selected by Trump on the television show "The Apprentice," who appeared with his boss.

Rancic, who chose the Chicago project to "manage," said his role will actually be closer to that of an assistant. "I'm one of the owner's representatives here," he said. "As the owner's representative, you're the eyes and ears for Donald Trump."

Trump would not talk about the financing of the building or comment on a report in the Chicago Tribune that he had secured $160 million from investors and a $650 million construction loan from Deutche Bank.

"Obviously we're doing very well or ... we wouldn't be ripping down the building," Trump said.

Trump, whose plans originally called for a 150-story high-rise that would have made it the tallest in the world, dismissed any skepticism about whether he could pull the project off.

"This building is going to be something very special," he promised of the structure, which is to include 461 luxury homes, 227 hotel guest rooms and suites, 90,000 square feet of boutique shopping, a 60,000-square foot health club, two ballrooms and a 1.2-acre park and riverwalk.

Others have their doubts.

J. Paul Beitler, a major Chicago developer, said there is skepticism in the development community about how much interest there really is in the building in which units are for sale for anywhere from $636,000 to more than $25 million.

"No one in Chicago seems to have any personal friends or acquaintances in Chicago who have purchased a unit in the building," he said.

He also said that while the prices Trump is asking might not raise an eyebrow in New York, they may be too rich for the blood of Chicagoans.

Tere Proctor, the director of sales for the project, said about 75 percent of the units are sold, the bulk of those to people in the Chicago area.

Copyright © 2004, The Associated Press

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