Donald Trump’s four-year controversial presidency ending in inciting a deadly storm on the Capitol Building has led to his New York properties’ value plummet.
A recent report, which studied five Trump-branded Manhattan buildings, alongside three previously branded properties in Riverside Boulevard, has revealed that the former President’s real estate has lost significant value.
The study, conducted by NYC real-estate data firm UrbanDigs, found that on average a Trump building located in Manhattan was worth $2,065 per square foot when he first took office in 2016. Now, at the end of his term, an average foot costs $1,619, with a drop of 21.5 per cent.
Trump’s controversial one-term presidency, including inciting a violent insurrection, attracted negative connotations to the Trump name.
The Trump name has become a toxic asset. Trump’s licensing business saw a boom with the then popularity of the show The Apprentice, but has lagged since becoming president. The trend accelerating with Trump’s attempts to undermine democracy.
Mark Cohen outlined that whilst he expects the value of Trump property to eventually bounce back eventually, it would be an uncertain process.
‘Even if buyers can score a luxury pad for a discounted price, the current situation makes Trump buildings too taboo,’ Cohen commented. ‘The Trump name is radioactive right now.’
Prior to the Capitol riots, the Trump Organisation unsuccessfully tried to sell the Trump Hotel in Washington D.C. due to the stipulation that the new owners retain the Trump name.
Earlier this month, New York City announced it would sever all ties with the Trump Organisation, citing the Capitol riots directly, and the 5 people left dead as a result.
‘Inciting an insurrection against the US government clearly constitutes criminal activity. The City of New York will no longer have anything to do with the Trump Organisation,’ Mayor Bill de Blasio explained.
Contracts between the city and former president include two skating rinks at Central Park, the Central Park carousel, end Trump Golf Links at Ferry Point.
Furthermore, the Deutsche Bank, one of Trump’s most important lenders, announced they would no longer have any business with the former president.
As the Trump brand can no longer successfully rely on slapping the Trump name on any product for revenue, profit has to come from elsewhere, and quickly. The Washington Post reported various Trump properties lost over $120 million over 2020, with Trump owing $340 million in numerous loans due over the upcoming years.
But let’s be honest, it’s not as if we didn’t see this coming. In fact, The Simpsons probably predicted it!