In 1932, the hotel was taken from its bankrupt owner, Abraham E. Lefcourt,  by the U.S. government's Reconstruction Finance Corporation. That same year, the hotel erected its iconic six-story sign on the roof.
In 1932, the hotel underwent a change of ownership from Abraham E. Lefcourt to the U.S. government's Reconstruction Finance Corporation, and simultaneously erected its iconic six-story sign on its roof.