Insiders question Spitzer’s real estate loyalty

TRD New York /
Sep.September 01, 2013 12:00 PM

Former New York Governor, turned Comptroller hopeful, Eliot Spitzer sought refuge in his father’s trophy real estate portfolio after abdicating Albany. But some insiders close to Spitzer say that the ambitious politician has never shared his father’s zeal for the industry – despite his position managing a portfolio that includes seven residential high-rises and four commercial buildings throughout Manhattan and Washington.

“To me, he had absolutely no interest in being in the business,” an unidentified executive who has worked with Spitzer told the New York Daily News. “He had this amazing portfolio to play with, and all he wanted to do was be on TV.”

Spitzer has denied that he is simply using his father’s real estate riches to fund his political dreams, telling the Daily News that “I like to think life can be bifurcated.”

Nevertheless Spitzer has a history of borrowing from real estate to fund his political campaigns. In 1994, during his race for state attorney general, Spitzer took out a $4.3 million bank loan, using eight apartments given to him by his father as collateral. When he ran for attorney general a second time four years later – and won – he borrowed $8 million against the same apartments. Securely in office, Spitzer sold the units back to his father.

In his current campaign for Comptroller, Spitzer has admitted that his real estate connections could lead to potential conflicts of interest, insisting that should he win election that he will immediately step down from his father’s company.

“We will handle it in a way so meticulous, so transparent,” he said. “Mike Bloomberg runs a huge company here, and he manages.”

Currently his father’s portfolio includes 985 Fifth Avenue, where Eliot Spitzer once lived; 800 Fifth Avenue, where his parents now live; the mixed-use Crown Building at the southwest corner of 57th Street and Fifth Avenue and the Corinthian. [NYDN]Christopher Cameron


Related Articles

arrow_forward_ios
City Comptroller Scott Stringer (Credit: Getty Images)

City Comptroller Scott Stringer proposes “Tenant Bill of Rights”

City Comptroller Scott Stringer proposes “Tenant Bill of Rights”
Steve Ross, Eliot Spitzer and a rendering of 451 10th Avenue (Credit: Getty Images) 

Spitzer, Related land $276M in financing for Hudson Yards senior housing project

Spitzer, Related land $276M in financing for Hudson Yards senior housing project
Eliot Spitzer and 220 E. 65th Street (Credit: Getty Images)

Eliot Spitzer and fiancee Roxana Girand pick up two UES condos

Eliot Spitzer and fiancee Roxana Girand pick up two UES condos
Eliot Spitzer, 220 East 72nd Street and Andrew Levison (Credit: Getty Images, StreetEasy, Dermot Company)

Spitzer sells UES apartment building

Spitzer sells UES apartment building
Clockwise from left: 420 Kent Avenue, a rendering of TWA Flight Center at John F. Kennedy International Airport, and 29-22 Northern Boulevard in Long Island City (Credit: Curbed NY)

These were the top 10 outer borough loans last month

These were the top 10 outer borough loans last month
Eliot Spitzer and 420 Kent Avenue (Credit: Getty Images)

Eliot Spitzer’s 420 Kent nabs $386M refi

Eliot Spitzer’s 420 Kent nabs $386M refi
The Closing: Eliot Spitzer on clashing with financial titans, second chances and the RE empire his dad built

The Closing: Eliot Spitzer on clashing with financial titans, second chances and the RE empire his dad built

The Closing: Eliot Spitzer on clashing with financial titans, second chances and the RE empire his dad built
From left: Josh Schuster, Matthew Messinger and Eliot Spitzer (Photo by Emily Assiran)

Power lunch: Developers talk friendly competition, Amazon and housing reform at the Four Seasons

Power lunch: Developers talk friendly competition, Amazon and housing reform at the Four Seasons
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...