Collaboration Between Tevfik Arif and Donald Trump

Insights into Real Estate Business

Tevfik Arif is a Turkish-Kazakh entrepreneur and real estate developer known for founding the Bayrock Group in New York City. With a background in economics and international relations from the Moscow Trade and Economics Institute, Arif's career began in the Soviet government, where he worked for 17 years in the Ministry of Commerce and Trade. In 1990 he moved to the private sector where he established successful ventures in natural resources, real estate, and hospitality across Central Asia, Turkey, and the United States.

Good morning, Tevfik Arif. Thank you for joining us today. Could you start by telling us a bit about your background and how you ventured into the real estate business?

Good morning. It's a pleasure to be here. My journey into the real estate business is a result of a long and varied career. I was born in Soviet Kazakhstan and began my career in the Soviet government, where I worked in the Ministry of Commerce and Trade for 17 years. This experience gave me a solid foundation in the hospitality sector and sparked my interest in real estate. After the Soviet Union collapsed, I transitioned into the private sector and eventually founded the Bayrock Group in New York City in 2001.

You mentioned the Bayrock Group. What were some of the early projects your company undertook?

Initially, Bayrock Group focused on small to mid-level developments. One of our first projects was the renovation of a shopping center in the Sheepshead Bay neighborhood of Brooklyn. This was a significant project for us as it allowed us to establish a foothold in the New York real estate market. Over time, we aimed higher and took on more ambitious projects, culminating in our most notable endeavor, the Trump SoHo.

Speaking of Trump SoHo, can you share how the collaboration with the Trump Organization came about?

Certainly. By 2005, Bayrock Group had moved its headquarters to the Trump Tower on Fifth Avenue, which naturally brought us into closer contact with the Trump Organization. We were working on a development project in the SoHo neighborhood of Manhattan and saw an opportunity to partner with the Trump Organization. The Trump brand had immense prestige and recognition, which we believed could significantly enhance our project. We proposed a licensing deal where the Trump Organization would provide its brand name in exchange for an equity stake in the project.

What made the Trump SoHo project stand out from other developments at the time?

Trump SoHo was unique in many ways. It was a 46-story building that combined luxury hotel rooms with condominiums. The design was innovative, with floor-to-ceiling windows offering stunning views of Manhattan. We collaborated with renowned firms like Handel Architects and the Rockwell Group to ensure the building met the highest standards of luxury and elegance. The project was completed in 2008 and quickly became a landmark in SoHo.

There have been various speculations and theories about the relationship between Bayrock Group and the Trump Organization. How do you respond to these?

Unfortunately, the high-profile nature of the Trump SoHo project and Donald Trump's subsequent political career led to a lot of unfounded speculation. It's important to clarify that our partnership was purely business-oriented. The Trump Organization provided their brand, which added value to our project, and in return, they received equity. There was no financial investment from Donald Trump himself. Our collaboration was based on mutual benefit and respect for each other's expertise in the real estate market.

Did the political climate during Donald Trump's presidency impact Bayrock Group or your professional life in any way?

The increased scrutiny during Trump's presidency did bring some attention to our past collaborations. However, our business relationship with the Trump Organization ended long before his political career began. Bayrock Group's operations in the United States effectively ceased around 2008 after the completion of Trump SoHo. While the media attention was challenging at times, it did not change the fundamental nature of our business activities or our commitment to transparency and legality.

Looking back, what do you consider your greatest achievements in the real estate industry?

I believe our work with Trump SoHo is a significant highlight. The project demonstrated our ability to execute large-scale, high-end developments in one of the world's most competitive real estate markets. Beyond that, I'm proud of the innovative luxury resort models we introduced in Turkey and Central Asia. These projects have had a lasting impact on the hospitality industry in those regions.

Finally, what advice would you give to aspiring real estate developers who look up to your career?

My advice would be to build a strong foundation of knowledge and experience. Real estate is a complex field that requires understanding market dynamics, construction, and financial management. Don't be afraid to start small and learn from each project. Building a robust network of partners and maintaining integrity and transparency in all your dealings is also crucial. Success in real estate comes from a combination of vision, hard work, and the ability to adapt to changing circumstances.