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DAN'S PAPERS, February 22, 2008 Page 17 www.danshamptons.com

Starbucks Retools Founder, Who Just Bought Mansion Here, Returns to Seattle to Take Over By Dan Rattiner Several years ago, we learned that the founder of Starbucks, Howard D. Schultz of Queens via Seattle, had bought a big mansion here in the Hamptons. We wrote a profile about him, because the concept that Mr. Schultz developed, after observing what a true coffee house looks and acts like in Italy, was just what this country needed. Starbucks rapidly became a friendly oasis for the people of America, the sort of quiet home away from home living room where you could read a book, write on a laptop, read the daily newspaper from a stack of them on racks, have a discussion with friends, stay as long as you like, drink a cap-

puccino made by a barista on a machine that hissed at you and even, under certain circumstances, take a nap. Perhaps most amazing of all, it seemed to me — and this is on a local level — was that the Village of East Hampton welcomed a Starbucks into the community, even though they frown on chain stores and have laws against allowing fast food chain restaurants to open up in that community. Hooray for Starbucks! But now, Schultz is cutting short his idyll and vacation days here in the Hamptons to rush back to Starbucks headquarters in Seattle and take the company back from the man he hired to run

it so he could come here to enjoy the fruits of his labor. Although the company still does $9 billion in business a year and still makes $1 billion in profits, somehow things are going sour and something is seriously wrong. Growth has almost stopped, the number of people coming into the stores on a per store basis has ceased to increase, and the future doesn’t look good. When the stock tanked and continued downhill until it was almost half of what it used to be, Schultz made his move. Enough was enough and he fired his CEO and moved back into the hot seat himself. The first thing Schultz did when he got back (continued on page 28)

THE HOOT OWL VERSUS THE SKI MOUNTAIN By Dan Rattiner Before I give you the chronology of events that has raised the hopes of Riverhead residents to the heights and then dropped these hopes into the depths of hell, I would like to ask you a question. If an endangered bird, never before seen in your town, landed on a tree branch there for a Dan Rattiner is the founder of Dan’s Papers. His memoir, In the Hamptons: Fifty Years With Farmers, Fishermen, Artists, Billionaires and Celebrities will be published by Harmony Books this May.

few moments to catch its breath and then fluttered away, would you say that land should be protected from development? How about if an endangered bird, never before seen in town, were to waddle around for 24 hours before leaving? How about if it did it for a week? Maybe you know where I am going with this. Here are the emotions that the longtime Supervisor of Riverhead, Phil Cardinale, has gone through during the last two months. Elation. After years and years, the Town of Riverhead cuts a deal with a European building consortium to create a complex to rival Disneyland on 755 acres at the site of a former

military air base in Calverton. The highlight will be a 40-story-tall mountain, inside of which you can ski twelve months a year. There will also be, where a 5,500-foot military runway currently is, a beautiful lake. Boundless Elation. Money changes hands. To buy the property, the consortium pays $155 million, which is three times the town’s entire annual budget. The plans show something that will cost $2 billion or more. They say they will break ground in two years. And after it opens Riverhead is to be cut in on the profits, which would be in the hundreds of millions of dollars (continued on page 28)

Dan;s Papers Feb. 22, 2008  

Dan's Papers, the 51-year-old bible of the Hamptons, is owned by Manhattan Media, a multi-media publishing company based in New York City,...

Dan;s Papers Feb. 22, 2008  

Dan's Papers, the 51-year-old bible of the Hamptons, is owned by Manhattan Media, a multi-media publishing company based in New York City,...

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