There’s simply no denying that things have taken a turn for the worst for Donald Trump since leaving the presidency last month. In just a few short weeks, he’s been hit with numerous lawsuits, his tax returns and financial documents finally saw the light of day as the Manhattan District Attorney prepares to nail him to the wall, and reports are indicating that his properties such as Trump Hotel just aren’t in good shape these days.
But according to a new report from Bloomberg, Donald himself isn’t the only one with some financial issues hovering on the horizon.
The new report reveals that, according to loan documents, a Times Square retail property owned by Trump’s son-in-law Jared Kushner’s family company, Kushner Cos., is on the brink of foreclosure and just got one step closer to tipping over the edge.
A report filed by the trustee on the debt, Wells Fargo & Co., reads, “Legal counsel has been engaged and foreclosure actions have been filed.”
The Bloomberg report notes that requests for comments from the representatives for Kushner Cos. have yet to be met.
According to the report, the building that sits at 229 West 43rd Street and used to house the New York Times is now at only about half of its occupancy. In 2016, the building was appraised at a staggering $470 million. A reappraisal in 2020 dropped that rate to $92.5 million when Bowlmor and, until December, Guitar Center were tenants of the building.
Back in 2016, a $285 million loan was produced by none other than Deutsche Bank AG, meant to refinance 6 floors of the former New York Times building. An additional $85 million in mezzanine debt is also lodged against the property from SL Green Realty Corp. and Paramount Group Inc.
Of course, many New York properties have felt the effects of the pandemic after the coronavirus turned the once-bustling and busy Times Square into a deserted ghost town. However, Kushner’s retail building was suffering even before it took a hit from the global pandemic that his father-in-law only served to worsen. As far back as November of 2019, income from rent was falling short of the interest payments owed on the debt.
Wells Fargo claims that a month later the loan was transferred to special servicing “due to imminent monetary default.”
Frankly, it seems the entire Trump “empire” is rapidly crumbling before our eyes and as for myself, I can’t get enough of it.
Featured image via screen capture