Trump's Wall Street Tower Appears To Be Underwater

Contributing sentiments towards policy:

57% : Through five companies and a revocable trust of which he is the only beneficiary, Trump is the sole owner of the lease.
51% : With a $5 million loan payment to Capital One coming due, in 2015, Trump refinanced the building, borrowing $160 million from Ladder Capital.
50% : The lease Trump signed in 1995 requires him to pay the landowner about $2.5 million of annual rent right now.
47% : That's $2 million less than the estimated $118 million Trump owes on his mortgage, according to an analysis of loan documents, real-estate records, financial disclosures and appraisals.
47% : According to filings with the Securities and Exchange Commission for those four notes, Trump still owes a total of about $118 million of his original $160 million mortgage.
47% : When Trump took out that loan in 2015, 40 Wall Street's occupancy rate was 94.5%, about one percentage point higher than comparable rental properties, according to Ladder Capital.
41% : Trump will likely struggle to find someone to loan him enough to pay off the entire principal when the mortgage comes due, given the shaky outlook of the real-estate market, the onerous terms of his lease, and the fact that he's likely underwater on his investment.
41% : "If Trump does stick around, he could renegotiate his leasehold with the German shipbuilding magnates, right around the time he is either beginning a potential second term as president or figuring out his next move.
32% : An increase in the rent Trump collected last year, however, caused it to bounce back to $33 million (it's not immediately clear why the rent increased while occupancy decreased in 2023).
30% : Adding to the headaches: Trump, who doesn't own the land on which the building sits, has just nine years left until his ground rent escalates dramatically, due to an agreement with the building's German owner.
30% : With downtown real estate in the dumps and the building reportedly in disrepair, in 1995, Trump picked up the building and its 1.1 million square feet of office from Citicorp, who had been stuck with it, for a mere $1.3 million.
29% : Even still, when Trump signed the loan, Ladder Capital projected 40 Wall Street's annual gross income to be about $43.1 million.
26% : Trump could also declare bankruptcy on 40 Wall Street (it would be his seventh bankruptcy, although it'd break new ground for him by being his first not involving a hotel).
25% : The bank's accompanying note cites New York state's civil fraud verdict against Trump, 40 Wall Street's occupancy rate and the building's declining operating income to debt service ratio as reasons why.
19% : If the rest of 40 Wall Street's financial picture remained the same as it is today, that would leave Trump with a negative $5 million in net operating income in 2033.

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