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'Big fat Greek diner' drives top Wall Street bank off the road
The Sunday Telegraph ^ | April 20, 2003 | Charles Laurence

Posted on 04/19/2003 5:09:10 PM PDT by MadIvan

When Goldman Sachs, Wall Street's most powerful investment bank, decided to build itself a new skyscraper it also planned a fast new road to its door.

It reckoned, though, without Andy Diakos and the thousands of customers who eat at his old-fashioned Flamingo diner, which stood in the path of the proposed road.

In an upset tagged the Big Fat Greek Diner for its echoes of the hit film My Big Fat Greek Wedding, the local authorities last week prevented the demolition of the Flamingo.

Instead, they told the bank that its 6,000 besuited employees who are to occupy the 800ft tower must struggle through traffic, or walk from the local stations, like everybody else.

The story, like Nia Vardolos's film, has struck a powerful chord in New York, playing on traditional themes of family values immigrant hard work.

"I came from Greece to America to work hard for a better life and for 35 years I have been in this kitchen seven days a week. To take it from me would be a great injustice. Now I am saved, I feel like a new man!" said Mr Diakos, 59.

The new Goldman Sachs building towers over a financial district being built in Jersey City, across the Hudson River from the site of the World Trade Center. Leading Wall Street companies have been lured to downmarket "Jersey" by low corporate taxes, cheaper land prices and lower rents.

Goldman's plans for its new tower entailed flattening Mr Diakos's four-storey redbrick building - a scruffy leftover of the original waterfront - to make way for a four-lane approach road to its new headquarters.

Jersey City drew up a compulsory purchase and demolition order and offered $1.5 million (£1 million) for the Flamingo. But Mr Diakos, his extended family and customers from the old dockyard area decided that some things were worth more than money.

Mr Diakos's three daughters, Kalliope, 30, a graduate of the London School of Economics who works in television, Joanna, 28, and Maria, 27, hired a lawyer and organised a protest. Twelve thousand residents signed a petition and hundreds crowded into planning meetings to make their voices heard.

Joan Colletti, 53, a social worker, summed up the mood of residents as she tucked into moussaka at the Flamingo. "This is the heart of the community, and while people in Wall Street might not notice, there is a community here," she said. "This is the only place we have left for good food at low prices, any time of the day or night."

Mayor Glenn Cunningham finally got the message. Last week, he announced that he was lifting the demolition order. Goldman Sachs workers would instead have to negotiate a system of one-way streets to reach their office.

"I've listened to the people. God bless the Flamingo and may she fly for ever," he said. "I'm pretty sure Goldman Sachs would have preferred the building to go down. But I've checked their voting address - and they don't vote in Jersey City."

A spokesman for Goldman Sachs said that the company was unruffled by the change of plan. Privately, however, its executives have a different message.

"This smacks of political opportunism," one said. Another said: "They should get real: 6,000 people are going to try to get to work in that building and this will create a safety problem in the streets they will have to use."

To Kalliope, such complaints miss the point. She had watched her parents work around the clock to build up a business with loyal customers and make a modest fortune.

"All my father ever wanted to do was to go on running the Flamingo. It is because of his hard work that we could do all that," she said.

Mr Diakos, surrounded by a family of women whose chatter with the customers is a part of his diner's allure, prefers to toss burgers and stuff cabbage in the background, and keep his thoughts to himself.

Why had he refused the $1.5 million which could have provided a comfortable retirement and an end to his 16-hour days? "Money? I don't mind so much for the money, but all my life I wanted something, a business, to leave to my daughters, and it is here," he said.

When Goldman Sachs announced it was moving, it was a coup for New Jersey. It is considered Wall Street's leading investment bank and when it was publicly floated in 1999 its partners received a record-breaking windfall.

Gavyn Davies, now the chairman of the BBC, was then its chief international economist and saw his shares valued at £100 million.

The present recession, which caused the bank's profits to fall eight per cent last year, prompted a characteristic response: Goldman Sachs fired 2,900 staff.


TOPICS: Business/Economy; Culture/Society; Extended News; US: New Jersey
KEYWORDS: diner; goldmansachs; greek; us
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To: Happygal
Sorry I did not make myself clear.

The post was in response to a hypothesis that the diner may have been offered to rent space within the tower. I speculated that the owners refused. If --- and that is, if --- that is so, then there is a similarity with the recent position of the French.

Regarding the latter: it is stupid to say, "I'll veto whatever you propose" before hearing the proposal. That is the reference I made, and I do not think it matters whether someone contributed or not: it is still stupid to disagree with something you haven't yet heard.

21 posted on 04/19/2003 6:06:30 PM PDT by TopQuark
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To: TopQuark
Well it sure doesn't sound like it started with a good faith negotiation. Sachs went and built the building, knowing that to make entry/egress efficient they would have to flatten the Flamingo, and they just built the building and demanded the Flamingo be condemned. Well hurrah to the Flamingo to not being steamrollered, but it seems that if negotiations with the Flamingo had begun while the tower was still a blueprint, there could have been an amicable solution.
22 posted on 04/19/2003 6:09:45 PM PDT by HiTech RedNeck
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To: HiTech RedNeck
Exactly my point. GS tried to do this the immoral way--by coercing local government to seize the property they wanted torn down, rather than going to the business owner directly. This is an abuse of eminent domain.
23 posted on 04/19/2003 6:11:41 PM PDT by dinodino
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To: TopQuark
it is still stupid to disagree with something you haven't yet heard.

Absolutely, I agree there. But, I'm kinda happy that this little guy operator had so much support (see jocon's report of actually knowing the place further up this thread) that he wasn't wiped out by BIG business. I'm ALL for progress. But, maybe some of the problems in many of our communities is they lack 'heart'. I think little Greek diner guy, may just be a perfect foil for impersonalism in this instance! :-)

24 posted on 04/19/2003 6:19:22 PM PDT by Happygal
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To: MadIvan
I've checked [Goldman Sachs'] voting address - and they don't vote in Jersey City.

Hahah! Great line.

25 posted on 04/19/2003 6:20:06 PM PDT by Sandy
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To: jocon307
Nice to hear a 'hands on' report of a place we comment about. (Actually 'hands on' is a bad choice of phrase, how about 'mouths on')

BTW, I'm a sucker for a good Greek salad (extra tomatoes, extra feta, hold the olives!!!) :-)
26 posted on 04/19/2003 6:22:35 PM PDT by Happygal
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To: dinodino
I'd be curious if Sachs ever did consider this before going the condemnation route. I don't know for certain, but if I was the founder/owner of a busy restaurant and offered a new home in a major office tower a few blocks away in exchange for being willing to move AND paid for my old building AND free parking for my patrons, I'd jump at the chance.
27 posted on 04/19/2003 6:25:02 PM PDT by HiTech RedNeck
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To: HiTech RedNeck
Me too. Cha-ching!
28 posted on 04/19/2003 6:28:36 PM PDT by dinodino
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To: MadIvan
"They should get real: 6,000 people are going to try to get to work in that building and this will create a safety problem in the streets they will have to use."

And many (the smart ones) will stop by for what I'm sure is a great meal.

We had a similar thing happen here.

An 80 something Italian immigrant had a large parcel of corner land which contained his house (he lived alone) and the remnants of a once much larger vineyard. The vines were scraggly and not that well pruned or weeded, the last sad remains of his American Dream.

Turns out that the land was very desirable and in the salad days of the early '90s an offer of $8 million was made to purchase the property. A big fight ensued where the relatives were trying to get the guy to sell, I think that they even tried to get the old man declared incompetent. In the end the land was not sold and the old guy remained owner until his death.

When the land finally sold the boom was over and the family got less than 50% of what was offered earlier.

The work ethic of people who came for the American Dream is remarkable, Even retirement in luxury is, many times, insufficient inducement to quit the quest.

29 posted on 04/19/2003 6:38:21 PM PDT by Mike Darancette (Soddom has left the bunker.)
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To: Happygal
I meant to say in the previous post that I agree, of course, with your point about the contribution of the business.

It's good to see you on this thread, HappyGal. Have a nice Holiday.
30 posted on 04/19/2003 6:39:24 PM PDT by TopQuark
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To: TopQuark
I live in Jersey City, and I have eaten at the flamingo since I was a little kid. If these New York Yuppies have to go through the same streets I had to without any incident so be it. If they don't like it they can move. You can't *#$% with us! I HATE YUPPIES!
31 posted on 04/19/2003 6:44:03 PM PDT by The Cuban
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To: Happygal
I wrote what I was thinking, in the name of the truth as I saw it, but as far as feelings are concerned -- I root for the little guy too. I would not say it better than you did: it is so rare nowadays that the little guy and a bit of "heart" win, that for me too this victory is to "make up" for those that lost.

Thanks for the pointer to jocon's post: I like diners in general (real food served by and eaten with real Americans next to me), and this one sound particularly good. I am not that often in that town, but next time I am there, I'll definitely stop by.

32 posted on 04/19/2003 6:44:54 PM PDT by TopQuark
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To: bvw
Neat website, are you from JC?
33 posted on 04/19/2003 6:45:47 PM PDT by Keme
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To: bvw
http://www.andiesisle.com/If-I-Die-Before-You-Wake.html

Can someone help me with the above link????
34 posted on 04/19/2003 6:46:21 PM PDT by omronnie
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To: The Cuban
I HATE YUPPIES!

That sounds like a well-thoughout, well-reasoned, and rathe rconservative approach to public policy and the issue of eminent domain.

I'd be afraid to see you solving problems that make you emotional.

35 posted on 04/19/2003 6:48:57 PM PDT by TopQuark
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To: MadIvan
HA-HA!
36 posted on 04/19/2003 6:50:42 PM PDT by Jhoffa_ (It's called "adoption" Perhaps you've heard of it?)
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To: The Cuban
Funny you should say that.
We get a lot of NY yankees retiring down here in Florida.
I have never wanted to live in New York.So I dont.
I wish those who never wanted to leave New York,stayed there.
Everyone, everywhere would be much happier!
37 posted on 04/19/2003 6:58:15 PM PDT by sarasmom
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To: TopQuark
I wrote what I was thinking, in the name of the truth as I saw it, but as far as feelings are concerned -- I root for the little guy too. I would not say it better than you did: it is so rare nowadays that the little guy and a bit of "heart" win, that for me too this victory is to "make up" for those that lost.

Well then, I think we agree..hugs all around. And nuthin' nicer than discussin' an issue, thinkin' ye may not be agreein', and figurin' out yer readin' from the same prayer sheet after all (politically speakin') when one is Catholic and the other is not.

TopQuark...HOW GOOD DOES THIS GET? (I'm gettin' a touch of the vapours, I may sit down!!) ;-) ***S***

38 posted on 04/19/2003 7:14:09 PM PDT by Happygal
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To: dinodino
There probably was one major fly in this kind of ointment: the competition between the Flamingo and the food service vendor for the tower. The food service vendor probably would have wanted an exclusive contract, so putting the Flamingo in the tower or even next to the access road would have created problems.
39 posted on 04/19/2003 7:14:56 PM PDT by HiTech RedNeck
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To: Happygal
You are a ton of fun, as always :) :) :)
40 posted on 04/19/2003 7:59:53 PM PDT by TopQuark
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