Turns out the dollar value of the “Trump” brand is plummeting

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More proof has emerged that the Trump brand, which has long aimed to be synonymous with luxury rather than fraud, is eroding bigly. A detailed report from The New York Times reveals that since 2016, a year that featured Trump’s ugly campaign culminating in his Russian-backed election win, the prices of condos in Trump-branded New York City buildings have been falling.

In May 2019, I wrote about how post-2016 condo sales at Trump Tower were largely resulting in losses, in stark contrast to the larger Manhattan real estate market at the time. Of the nine reported sales, all but one incurred a loss, in contrast to the mere 0.23% of all Manhattan homes that sold at a loss during that time. This pattern inspired Bloomberg to label Trump’s “crown jewel” as “one of the least desirable luxury properties in Manhattan.”

New data shows consistent underperformance of condos in high-rise buildings throughout Manhattan that bear the Trump name. According to sales data from two real estate tracking firms, and the Times’ analysis of data by the Columbia University economist Stijn Van Nieuwerburgh, the downturn is clearly connected to the Trump name.

Within a year, condos in Trump-branded buildings went from selling at a 1% premium, compared with similar units, to selling for 4% less, making the Trump condos a “bargain.” A look at four buildings where residents succeeded in removing the Trump logo reveals that this action caused their value to rebound, by contrast. Over the past decade, condos in these buildings outpaced the Manhattan market, rising at 9%, according to the analysis.

Multi-level waterfalls, panoramic views, and white-gloved staff are among the features typically found in these buildings. However, such hallmarks of luxury Manhattan living have proven to be no match for the toxic trash heap known as Donald Trump. Buildings, nations, people… success abounds when Trump is out of the picture.

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