Deutsche Bank’s loans to Trump have included money for a Florida golf resort, a Washington D.C. hotel and a Chicago tower. Two of the properties are being hit by the pandemic, the New York Times said. The Doral golf resort near Miami has stopped all operations, while the Washington hotel closed its restaurant and bar, according to the newspaper.
The Trump International Hotel stands in Washington, D.C.Photographer: Alex Edelman/Bloomberg
A process to sell the hotel lease has been halted amid a collapse in the commercial real estate market, the Washington Post reported.
Analysts have flagged commercial real estate as a particularly vulnerable part of the economy as malls and hotels across the country have had to close. But while other companies hit by the crisis may be able to tap into a $500 billion rescue fund, the President and his family are barred from accessing that money, the New York Times said.
Thus far, the Trump Organization, run by the president’s adult sons, Eric and Donald Trump Jr., have closed properties in Doral, Florida, Las Vegas, Ireland, Scotland, Bedminster, New Jersey, and Palm Beach, Florida, the home of Mar-a-Lago. According to the Post, those hotels and clubs represent six of Trump’s top revenue-producing businesses, bringing in about a collective $174 million per year, or $478,000 per day. Additionally, 160 employees have been laid off at the president’s Constitution-violating D.C. hotel, while 51 have been laid off at his New York hotel and an unknown number at his Vegas property. As the Post notes, the hotel business “needs new people walking in the door every day, to eat and stay,” and the current situation is far from swell. “The data is bad. And we haven’t seen the worst of it yet,” said Jan Freitag, a senior vice president with STR, which analyzes hotel-industry data. “What we’re seeing here is a rapid descent that’s going to last. So it’s going to be a little bit of a worst-case combination of post-9/11 and [the financial crisis of] 2009.”