Trump Family Debt Spikes To $1.3 Billion As Collapse Continues

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2044

Former President Trump has mountains of debt. As explained by Forbes, Trump’s “business owes an estimated $1.3 billion, nearly $200 million more than it did when he left office” — and it wasn’t even all that long ago in the grand scheme of things when he exited the presidency. Nevertheless, he’s already added almost $200 million onto the amount that he owes. Forbes does note, however, that Trump has been able to increase the amount of cash that he has on hand this year. Forbes explains that “JPMorgan Chase helped loan $1.2 billion against a San Francisco office complex in which Trump holds a 30% minority interest,” and since Trump is not the majority owner, he wouldn’t be responsible for covering the debt should a default unfold — but he could still garner cash from the arrangement.

As Forbes puts it, if “Trump received 30% of the cash out, the deal would have boosted his liquid holdings from an estimated $110 million to nearly $300 million.” He still has more debt coming due, however. A $100 million loan for commercial space within Trump Tower will be due in September of next year, and in the following year, Trump will have “two loans with a combined original principal of $125 million coming due against Trump Doral, a golf resort in Miami,” Forbes adds. While re-financing could provide one method for dealing with the loans — which go on from there — the process could by all appearances easily not cover everything, leaving Trump to struggle.

This year, Trump failed to appear on the Forbes list of the 400 richest people in the United States for the first time in decades, and considering his obsession with his public image, the development seemed sure to land a rhetorical blow against him. Trump’s net worth stands at some $2.5 billion, which placed him $400 million off from making the cut for the list. In 2016, Trump’s net worth stood at $3.7 billion, per Forbes, meaning that he’s lost standing since assuming the presidency. Forbes’s Dan Alexander noted how Trump himself could be credited for his own financial travails, since instead of taking what was “a golden opportunity to diversify his fortune” and opting “to reinvest… into broad-based index funds and assume office free of conflicts of interest,” Trump decided to maintain his stakes in his real estate businesses.