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The Enigma of Reza Pahlavi Why does Reza Pahlavi get so much media attention?

The Enigma of Reza Pahlavi
Why does Reza Pahlavi get so much media attention?

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The Ghermezian Brothers: Real Estate Magnates

In their adopted home of Canada, the Ghermezian brothers -- Eskandar, Nader, Raphael and Bahman -- are figures shrouded in mystery. A fiercely private Orthodox Jewish family, they refuse to grant interviews, or to be photographed. The Encyclopedia Britannica gives few biographical facts about their father Jacob and founder of the Ghermezian real estate dynasty, other than he was born in Azerbaijan in 1902, immigrated to Canada in the late 1950s where he started out by developing a chain of Persian rug stores, and died in the year 2000. All of those who have dealt with the family describe them as hard-as-nails political and legal operators. These four Iranian natives have created one of Canada's biggest and most spectacular real estate empires through Triple Five Corp, their large asset-based financial conglomerate that consists of nearly 400 companies with offices across Canada, U.S., England, Japan, Taiwan and the Middle East.

The Ghermezian brothers boast, among other things, of having built the world’s largest shopping mall, West Edmonton Mall. Now a staggering 5.3 million square feet, the megamall features more than 800 stores, 25 sit-down restaurants, a casino, an amusement park, an indoor wave pool, a dolphin lagoon, and 26 movie screens in two theater complexes.

Since the mid-1980s, the Ghermezians have had plans to conquer the American real estate market as well. The family has done very well in Las Vegas, having become principals in at least 34 companies registered in the state. The Ghermezians also built the huge “Mall of America” in Minnesota. Since its opening, Mall of America has grown to more than 525 stores and now employs about 12,000 people. Inside the building, there are 49 restaurants, a cinema with 14 screens, and 8 night clubs. The mall has an economic impact on Minnesota of nearly $1.5 billion per year. It has become a must-see tourist attraction, with more than 270 million visitors both local and foreign since its opening. At the moment, Mall of America attracts more visitors annually than Disney World, Graceland, and the Grand Canyon combined, which makes it the country's most visited destination for U.S. travelers.

The new generation of Ghermezian offspring have also displayed the entrepreneur spirit of their family. When Mark Ghermezian was running for senior-class president at his high school in Edmonton, Canada, he tacked campaign posters over urinals and discovered that this placement could be quite effective. Now 20 and a part-time student at Yeshiva University in New York City, he runs Flush Media, which places full-color print ads in stalls and above urinals. His primary venues are in Canada at places like Calgary International Airport, but he also has a contract with 130 New York Sports Club locations along the East Coast. So far, clients include TNT and Snapple.

But with all that success comes the downside as well. The family has been the subject of a lot of controversies and lawsuits over the years, including allegations of improper influence in the form of “political contributions” and “gifts” to public officials both in Canada and the United States. That was true in the Spring Valley casino case in Las Vegas, in which several council members who voted “yes” to the Ghermezian’s proposal had received tens of thousands of dollars in political campaign contributions. This sparked huge protests from nearby residents and political opponents, who turned to the courts to block the casino. The Ghermezian brothers are also currently embroiled in a bitter dispute in federal court in St. Paul, Minnesota, over the Mall of America. They claim that former partner the Simon Property Group, bought out a larger share of the real estate deal behind their backs. "I'll go all the way to fight you," promised a fast-talking Nader Ghermezian to his opponent in court in June 2003, his voice rising at times. This is a promise the Ghermezian brothers are sure to keep.


The Dolphin Lagoon in West Edmonton Mall, Canada.

Roller Coaster inside West Edmonton Mall.


 

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