After former President Donald Trump left office in January, sales at his properties branded by his last name soared, according to reports.
The Realtor reports that so far this year, post-presidency Trump properties have soaring sales which could be due to the lower prices applied to multiple Trump high-rise towers. The properties listed on the Trump Organization website in the past year alone have jumped 72 percent. The prices have notably dropped 24 percent since the beginning of Trump’s 2016 campaign.
Compared to the last four years, condo prices jumped 38 percent overall, yet Trump-branded condos have dropped 30 percent, the report said.
The Realtor report continued:
Most of the recent sales have happened at Trump’s Florida properties. The former president, a longtime New Yorker, decamped to the state, which he won in 2020 and where he continues to have strong support. But there was also an increase in sales activity in New York and Nevada, states that went blue in the last election. Sales at his Hawaii, Connecticut, and New Jersey properties were little changed, while sales at the Trump International Hotel and Tower Chicago fell slightly.
Lately Florida’s real estate market has been booming and Trump’s properties there have been popular with buyers, says Denise Rubin, president of the Denise Rubin Group and a real estate agent with Coldwell Banker Realty. She’s sold 10 units so far this year in Trump Hollywood (in Hollywood, FL), including the highest sale in the building: a six-bedroom, 6.5-bath, top-floor unit, which went for $3.95 million.
“Condo-hotels are also viewed as investment properties so that some lenders won’t finance a sale in those types of units,” Realtor noted in the report, meaning that a chunk of buyers has been relying on all-cash deals, which has been limiting the “pool of potential customers.” The data showed over half of the Trump International buyers in the first quarter had been part of corporate investments.
In Florida, Jerry Ardizzone bought a unit in the Trump Towers located in Sunny Isles Beach. After buying the unit, he said, “I liked the Tower, I liked the amenities, I liked the price. … I’m on the sand, and Florida’s hot right now for resale.”
The Trump Tower in New York has also been bought in all-cash deals. This month, The New York Post reported Josh Nass, a reputation management pro, paid $1.8 million for a place in Trump Tower in an all-cash deal, though the same unit in 2006 sold for $2.3 million. In Florida, 39 units were sold at Trump Hollywood during the first quarter of 2021, where the price per unit has increased to $1.03 million compared to the median price from last year that was at about $920,000, according to the analysis.
Matthew Quint, director of the Center on Global Brand Leadership at Columbia Business School, had said, “Of course, the Trump brand has taken a hit [since his presidency]. He’s a controversial character now.” He added that “When [Trump] made the decision to run for president, by nature he was going to change the perception of the Trump business brand.”
The Post reported that some of Trump’s properties were built in the 1970s and 1980s and they are considered to be a little outdated, which has also been a driving factor in the “deep discounts” which are “a clear distinction made between Trump’s New York properties and other luxury developments in the city.”