Former President Donald Trump's net worth decreased by $700 million during his years in the White House, Bloomberg News reported.
According to Bloomberg, Trump’s net worth is down to $2.3 billion from $3 billion when he became president. The news outlet blamed much of the loss on the pandemic, and the Jan. 6 violent protests at the Capitol.
It noted the worldwide outbreak of COVID-19 has been hard on hotels and resorts that bear his name, and on office buildings key to his wealth. And it said the Jan. 6 protests damaged his relationships with lenders and brokers.
Bloomberg estimated the value of the former president's commercial real estate properties fell by 26% between 2016 and 2021. And it noted no segment in his business world is as important as commercial real estate.
It said commercial real estate makes up about three-quarters of his net worth, Ruth Colp-Haber, who runs office consultant Wharton property Advisors, said. COVID-19, the riot, and an aging portfolio of properties, is forcing Trump to face a "triple whammy."
"These are the businesses you don’t want to be in right now," she said.
Bloomberg noted Trump resorts and hotels have seen an income change of minus-42% between 2015-2021. And it said Trump has personally guaranteed about $330 million of their debt. Nearly half of that is a result of a loan for his Washington, D.C., hotel. Bloomberg said his lender, Deutsche Bank AG, said it won’t do business with him again after the Capitol protests.
Bloomberg pointed out Trump has recovered before from economic woes. "A post-pandemic economic recovery could reinflate the value of his properties," it said. "He could continue his run of bestsellers, pivot back to television or start a rival to the social media platforms that have shunned him. Even if things go poorly, he could make the best of losses by using them to slash his tax bills, as he’s done for years."
Trump's Mar-a-Lago resort in Palm Beach, Fla., where he currently lives, brought in $22.9 million last year – an increase from the $22.3 million in 2015. But the Trump National Doral in Miami, with 643 guest rooms, is suffering, Bloomberg said. Income last year fell more than $57 million from 2015. And revenue at the Trump International Hotel in D.C. dropped to $14.3 million last year – down $26.2 million from 2019.
Meanwhile, Trump's businesses are currently under investigation.
His tax returns are now in the possession of Manhattan District Attorney Cyrus Vance.
Trump had refused during his four years in office to make his tax returns public. The documents could provide details on his wealth and the activities of his family real-estate company, the Trump Organization.
Bloomberg pointed out the New York Attorney General’s Office is investigating if Trump inflated property values to get tax or insurance benefits.
Jeffrey Rodack ✉
Jeffrey Rodack, who has nearly a half century in news as a senior editor and city editor for national and local publications, has covered politics for Newsmax for nearly seven years.
© 2023 Newsmax. All rights reserved.