SEP 28, 2016
Despite decades of precedent among presidential candidates, Donald Trump has been steadfast in his refusal to release his tax returns. “You don’t learn that much from tax returns,” he said at the first presidential debate on Monday, where he claimed that he has been getting audited by the IRS almost every year for 15 years. “You will learn more about Donald Trump by going down to the federal elections,” Trump suggests, “where I filed a 104-page essentially financial statements of sorts.”
A lot of Trump critics have argued that he’s afraid that his tax returns will show he’s not a billionaire. Highly doubtful. First, Trump’s income will not directly correlate with the value of his assets, the debt on them or his stake in each. Second, FORBES has been scouring Trump’s fortune for 35 years. Sometimes he’s up, sometimes he down–and for much of the 1990s he was out of the three-comma club.
FORBES’ new investigation into Trump’s wealth pegs his fortune at $3.7 billion, down $800 million from a year ago. A softening of New York City’s real estate market, particularly in retail and office, where valuations are trending down, has diminished his estimated net worth. New information was also a factor. Of the 28 assets or asset classes scrutinized by FORBES, 18 declined in value, including his trademark Trump Tower on Manhattan’s Fifth Avenue, his downtown jewel 40 Wall Street and Mar-a-Lago, his private beachfront club in Palm Beach.
Seven assets rose in value–including San Francisco’s second-tallest building, 555 California Street. One held steady. There are two new assets included in his total ngIf: ticker count. One is a 4% stake in an affordable housing compound in Brooklyn that is listed in Trump’s FEC filing. In his sole real estate deal this year, Trump bought a nearly 50-year-old warehouse in Charleston, S.C. that was in foreclosure. The warehouse had been owned by a company, Titan ngIf: ticker Atlas, in which Donald Jr. had been an investor. At one point the younger Trump (as well as other investors) had personally guaranteed a Deutsche Bank ngIf: ticker loan to the company; his dad later bought it out.
As for his campaign, Trump gave it $7 million and loaned it an additional $48 million of his own cash, which FORBES does not expect he will get back.
The stakes are high. For the first time since H. Ross Perot Sr. in 1992 and again in 1996, a billionaire has a shot (in this case, as a major party’s nominee, a far better one) of becoming president of the United States. Below you’ll find our estimates and assumptions for all his assets. And no, as with Oprah Winfrey and Mark Cuban and all the rest, we don’t subscribe an intangible value to his “brand.” Great businessmen turn brands into profits, which then get valued. The deals that putatively could get done do not.
One more thing: The bombastic Republican presidential candidate said on Monday night that his FEC filing showed income of $694 million for the past year. It doesn’t, because in the document he freely mixed revenue with income, and it covers a period of 17 months.
An Asset By Asset Breakdown Of Donald Trump’s Wealth
1. Trump Tower (New York City)
Type: Office and retail
What Trump Owns: 244,000 sq. ft.
Total Value: $471 million
Debt: $100 million
Net Value: $371 million
Change vs. 2015: -$159 million
Opened: 1983
This Fifth Avenue glass skyscraper signaled Trump’s arrival as a proper Manhattan mogul. But the contractor he hired in 1980 to demolish the existing Bonwit Teller department store allegedly used a small army of undocumented Polish laborers, who were paid off the books when paid at all, to work 12 hours a day, 7 days a week. Trump spent years in court battling a ruling that he was involved in the scheme before reaching a confidential settlement in 1999. He still denies wrongdoing. Trump Tower is worth $159 million less this year due to an estimated 20% drop in the building’s net operating income and an estimated 8% decline due to overall softening in Manhattan commercial real estate. Trump lives in the tower’s three-story penthouse, which FORBES values separately.
2. 1290 Avenue of the Americas (New York City)
Type: Office and retail
What Trump Owns: 30%
Total Value: $2.31 billion
Debt: $950 million
Net Value of Stake: $409 million
Change vs. 2015: -$62 million
In 1994 Trump’s 78-acre tract of land on New York’s Upper West Side near the Hudson River was saddled with debt. The Donald persuaded a group of Chinese investors to bail him out by purchasing the property–and its reported $250 million in liabilities–and keeping him on as a 30% limited partner. Twelve years later the investors flipped the property for $1.76 billion and used the proceeds to purchase 1290 Avenue of the Americas and the Bank of America Center in San Francisco. Trump sued his partners to block the deal, claiming–in typical fashion–that the tract was worth far more than its sale price. Courts disagreed. Trump still owns 30% of the buildings purchased by his Chinese partners (who sold their 70% controlling stake to Vornado in 2007 for $1.81 billion). Says one New York broker: “The best thing that ever happened to him is he lost those lawsuits.” Like Trump Tower, his stake in this 45-story office building has lost value ($62 million) due to Manhattan’s cooling market.
3. Niketown (New York City)
Type: Retail
What Trump Owns: Ground lease through 2079
Total Value: $400 million
Debt: $10 million
Net Value: $390 million
Change vs. 2015: -$52 million
Nike’s flagship store is just around the corner from Trump Tower. Trump first got the retailer to rent the space in 1995, persuading two separate landowners to let Nike construct a single building across their adjoining parcels. (Trump doesn’t actually own the space but has the rights to lease it out until 2079.) The property–situated on prime real estate on 57th Street–generates some of the highest rents in Trump’s portfolio. But Nike is reportedly seeking to move out once its lease is up in May 2017, and Manhattan retail vacancies are on the rise, helping drive the value of this space down $52 million since last year.
4. 40 Wall Street (New York City)
Type: Office and retail
What Trump Owns: Ground lease through 2059
Total Value: $501 million
Debt: $156 million
Net Value: $345 million
Change vs. 2015: -$28 million
Trump’s lower Manhattan gem was designed to be the world’s tallest building when construction started in 1929. It quickly lost the title to the rival Chrysler Building, which is 100 feet taller. The 71-story tower was secretly acquired in 1982 by Ferdinand and Imelda Marcos, the former dictator of the Philippines and his extravagant wife. After Marcos was ousted from power in 1986 the building was auctioned off; it changed hands a few times before Trump picked it up, reportedly for less than $10 million, in 1995. The Donald has been criticized for comments to a local TV station on 9/11 mentioning how the Twin Towers collapse made 40 Wall the tallest building downtown. The value of this property has also declined this year.
5. Trump Park Avenue (New York City)
Type: Residential and retail
What Trump Owns: 49,564 sq. ft. of condos; 27,467 sq. ft. of retail
Total Value: $191 million
Debt: $14.3 million
Net Value: $177 million
Change vs. 2015: -$27 million
6. Trump Parc/Trump Parc East (New York City)
Type: Residential and retail
What Trump Owns: 11,750 sq. ft. of condos; 14,963 sq. feet of retail; 13,108 sq. ft. of garage
Total Value: $88 million
Debt: $0
Net Value: $88 million
Change vs. 2015: +$17 million
Trump bought two buildings overlooking Central Park in 1981, hoping to demolish them to make way for a new skyscraper. But first he had to get rid of dozens of rent-controlled tenants in Trump Parc East (the other was a hotel). According to court filings, residents claimed Trump let the building fall into disrepair. He even publicly offered to house the city’s homeless in the vacant units. Tenants sued for harassment and claimed the place was uninhabitable. Trump disagreed, saying that he cut back on high-end services that the low rents couldn’t cover. He told the press that the building was full of rich folks taking advantage of rent control. Eventually he abandoned his plan to tear it down. He reached an agreement with tenants to convert the units into condos and allow rent-controlled residents to stay. Some still live there–as does Trump’s son, Eric. FORBES’ estimate of the property’s value is up $17 million this year after we discovered that Trump still owns retail space and a parking garage at Trump Parc, the building next door.
7. Trump International Hotel and Tower, Central Park West (New York City)
Type: Hotel/residential and retail
What Trump Owns: 10,578 sq. ft. of retail; 18,370 sq. ft. of garage; one 460-sq.-ft. condo
Total Value: $38 million
Debt: $0
Net Value of Stake: $38 million
Change vs. 2015: +$21 million
8. Trump World Tower, 845 United Nations Plaza (New York City)
Type: Residential and retail
What Trump Owns: 9,007 sq. ft. of retail; 28,579 sq. ft. of garage; one 2,835-square-foot condo
Total Value: $27 million
Debt: $0
Net Value of Stake: $27 million
Change vs. 2015: -$16 million
9. Spring Creek Towers (Brooklyn, N.Y.)
Type: Affordable housing units
What Trump Owns: 4% stake
Total Value: $1 billion
Debt: $408 million
Net value of stake: $25 million
Trump’s father, Fred, amassed a portfolio of 20,000 Brooklyn and Queens apartments worth hundreds of millions at one point. But Donald was more interested in Manhattan. Over time the family sold most of the outer-borough holdings. The lone remaining asset from his father’s era is a 4% interest in Spring Creek Towers, a massive, 46-tower government subsidized housing complex with 5,881 units in Brooklyn’s East New York neighborhood that the Trumps reportedly bought into in 1973.
10. Trump Plaza (New York City)
Type: Residential and retail
What Trump Owns: Ground lease through 2082
Total Value: $27.7 million
Debt: $14.7 million
Net Value: $13 million
Change vs. 2015: -$16 million
11. Trump Tower Penthouse (New York City)
Type: Personal residence
What Trump Owns: 30,000 sq. ft.
Total Value: $90 million
Debt: $0
Net Value: $90 million
Change vs. 2015: -$10 million
Opened: 1983
12. 555 California Street (San Francisco)
Type: Office
What Trump Owns: 30% stake
Building Value: $1.645 billion
Debt: $589 million
Net Value of Stake:
$317 million
Change vs. 2015: +$32 million
The other half of the deal that Trump’s Chinese investors completed in 2006. In exchange for a 78-acre tract of land on New York’s Upper West Side, the Chinese got 1290 Avenue of Americas in New York (see above) and 555 California Street in San Francisco, then called the Bank of America Center. While valuations for San Francisco office space have dipped, the building has brought a higher net income, raising the value of Trump’s stake by $32 million.
13. Trump National Doral Miami
Type: Golf resort
What Trump Owns: 100%
Total Value: $275 million
Debt: $106 million
Net Value: $169 million
Change vs. 2015: +$25 million
14. Mar-A-Lago (Palm Beach, FLa.)
Type: Private club
What Trump Owns: 100%
Total Value: $150 million
Debt: $0
Net Value: $150 million
Change vs. 2015: -$50 million
Spanish for “Sea to Lake,” Mar-a-Lago is the former estate of Marjorie Merriweather Post, the socialite who inherited General Foods in 1914. Trump bought the 126-room property for $5 million in 1985 and turned it into a private club a decade later. He has since had numerous skirmishes with the locals, including a fight with the city over flying a giant American flag on a reported 80-foot pole (the maximum height allowed at the time was 56 feet). The trophy property was the site of Trump and his third wife Melania’s 2005 wedding reception–which the Clintons famously attended. FORBES reduced its valuation after other top luxury properties, including a nearly 16-acre, 33-bedroom compound down the road, struggled to sell at a higher price.
15. U.S. Golf Courses
Type: 10 golf courses in 6 states plus the District of Columbia
What Trump Owns: 100%
Total Value: $225 million
Debt: $18.5 million (est.)
Net Value: $206 million
Change vs. 2015: -$72 million
The ten golf clubs in Trump’s empire stretch across the nation from the seaside community of Palos Verdes, Calif. to the quiet suburbs of New York City. The upscale courses have been points of both pride and controversy. The Donald, who is an avid golfer, obtained a farmland tax break for a New Jersey golf club. He once also claimed to local authorities that the market value of his Westchester club was $1.4 million, to lower taxes, while listing its value at over $50 million on his federal election filings. This year FORBES found that many of the residential lots his camp had claimed he owned on his Palos Verdes course have either already been sold or are not yet approved for sale. Trump’s camp confirmed that he has just 13 left that he can sell and another 23 not yet approved for sale, down from the 60 we gave him last year.
16. Scotland & Ireland Golf Courses
Type: 3 golf resorts in 2 countries
What Trump Owns: 100%
Total Value: $85 million
Debt: $0
Net Value: $85 million
Change vs. 2015: -$3 million
Turnberry, the legendary seaside golf resort–which Trump bought in 2014–is bunkered in the homeland of his mother, Mary MacLeod, a native of the Isle of Lewis (her first language was Scots Gaelic). She arrived in the U.S. when she was 18 years old, making the voyage from Glasgow to Ellis Island in 1930 with $50 in her pocket. She married Fred Trump, the son of a German immigrant, in 1936. Though FORBES upped the value of the trophy property by 7% this year, the falling pound and a stronger greenback have diminished its value in U.S. dollars.
17. Trump Chicago
Type: Hotel, condos and retail
What Trump Owns: 100%
Total Value: $169 million
Debt: $50 million (est.)
Net Value: $119 million
Change vs 2015: -$39 million
Trump had a spat with Mayor Rahm Emanuel over the hotel-condo building’s imposing Trump logo; the city ended up passing an ordinance to control the size of future signs (as well as the number of them) placed along the Riverwalk. Trump also sued Deutsche Bank for an extension on the construction loan payment in 2008, citing the financial crisis as a force majeure–a clause usually reserved for unforeseen circumstances such as natural disasters. The parties finalized a settlement in 2010.
18. Trump International Hotel Washington, D.C.
Type: Hotel
What Trump Owns: Ground lease through 2075
Total Value: $229 million
Debt: $125 million
Net Value: $104 million
Change vs. 2015: -$97 million
Located on Pennsylvania Avenue–just down the street from you know what–in what was the Old Post Office building, Trump’s latest real estate project is scheduled to open imminently. The nearly 120-year-old structure has survived several demolition attempts in the past century and has been redeveloped into a 263-room hotel. The total value of the hotel increased by $20 million in the past year–but the net value (all that ultimately matters, in regards to Trump) dropped after Trump took on more debt, tapping $125 million of a $170 million credit line from Deutsche Bank to complete construction, up from $8 million last year. Trump’s camp claims it deserves the same premium as hotels that are valued at $1 million or more per key (room). But sources tell FORBES that since the hotel has not yet opened, it’s too early to give it the same value as more established hotels in D.C.
19. Trump International Hotel Las Vegas
Type: Hotel and condos
What Trump Owns: 50% stake
Total Value: $156 million
Debt: $18 million (est.)
Net value of his stake: $69 million
Change vs. 2015: -$27 million
Opened: 2008
The gleaming hotel–which claims to be encased in 24-karat gold glass–has been more successful than Trump’s previous forays in gambling zones. While his Atlantic City casinos suffered through corporate bankruptcies, eventually reducing his stake to nothing, this joint venture with fellow real estate billionaire Phil Ruffin has become a premier destination by the Strip. It has 1,282 suites, more than half of which have been sold since it opened in 2008. It apparently has managed some of the properties for owners, renting them out.
20. Cash/Liquid Assets: $230 million
Change vs. 2015: -$97 million
21. Trump Winery (Charlottesville, Va.)
Type: Winery
What Trump Owns: 100%
Total Value: $30 million
Debt: $0
Net Value: $30 million
Change vs. 2015: $0
22. Seven Springs (Bedford, N.Y.)
Type: Private estate
What Trump Owns: 100%
Total Value: $37.5 million
Debt: $20 million (est.)
Net Value: $17.5 million
Change vs. 2015: -$5.5 million
The country home, where his children from his first marriage (to Ivana) spent their summers, was built by Eugene Meyer, publisher of the Washington Post from 1933 to 1946 and the father of Katharine Graham. The compound also included the residence of Meyer’s best friend, Henry Heinz, founder of Heinz ketchup, who died in 1919. Trump bought it in 1996 for a reported $7.5 million; he planned to turn it into a golf course but reportedly failed to obtain zoning permits, eventually putting much of the land under a conservation easement. “We were mowing all the fields, cutting down trees,” Eric Trump once told FORBES of summers where his father put him and Donald Jr. to work. “It was the first lessons of development from my father.”
23. Trump Hotel Management & Licensing Business
Type: Management and/or licensing agreements
What Trump Owns: 100%
Total Value: $123 million
Debt: $0
Net Value: $123 million
Change vs. 2015: -$229 million
Here are some of his most prominent licensing and management deals:
Trump Toronto
Trump Ocean Club (Panama)
Trump Hawaii
Trump Vancouver
Trump Bali
Trump Gurgaon (India)
Trump Towers Pune
Trump Plaza New Rochelle (Westchester)
Trump Grande, Sunny Isles (Miami)
Trump Tower at City Center (White Plains, N.Y.)
Trump Tower Mumbai
Trump Towers Istanbul
Trump Philippines
Trump Parc Stamford
Trump Golf Dubai
Trump Tower Punta del Este
The management and licensing company has roughly two dozen properties under its umbrella. Trump’s organization manages some of the hotels and resorts, including Trump Vancouver. Others, like India’s luxury condo Trump Tower, merely pay Trump to use his name. The highly lucrative business has enabled the Donald to spread his brand from the Philippines to Uruguay. While Trump has struck more licensing arrangements in the past year, FORBES cut the value of the portfolio after several sources suggested that the revenue from wholly owned properties like Doral Miami and Trump Las Vegas (disclosed in Federal Election Commission filings) should not be included in the valuation. FORBES already values those assets separately and thus this year subtracted their estimated revenues from the management business to avoid double counting.
24. Product Licensing
Type: Consumer-products licensing
What Trump Owns: 100%
Net Value: $14 million
Change vs. 2015: -$8.75 million
Products:
Trump Home
Donald J. Trump Collection (menswear)
Select by Trump (coffee)
Trump Natural Spring Water
Trump Fragrance
25. Aircraft
Models: Two 1989 Sikorsky S-76B Helicopters, one 1990 Sikorsky S-76B Helicopter, one 1991 Boeing 757, one 1997 Cessna 750 Citation X.
What Trump Owns: 100%
Net Value: $35 million
Change vs. 2015: -$27 million
26. Two Palm Beach, Fla. Residences
Type: Personal property
What Trump Owns: 100%
Net Value: $14.5 million
Change vs. 2015: +$2.85 million
27. 809 N. Canon Drive, Beverly Hills
Type: Personal property
What Trump Owns: 100%
Net Value: $9 million
Change vs. 2015: +$500,000
28. Stark Industrial Park, Charleston, S.C.
Type: Industrial warehouse
What Trump Owns: 100%
Net Value: $3.5 million
Change vs. 2015: Purchased this year
Total Net Worth: $3,700,000,000
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