The Trump Organization Repays the Loan It Extended Last Year

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Donald Trump thumbs-up as he leaves the White House in Washington, DC, on October 15, 2020. (Photo by SAUL LOEB/AFP via Getty Images)

AFP via Getty Images

Donald Trump’s business repaid the loan it extended in the first year of the pandemic, according to a document filed with New York City authorities this month.

In 2010, Investors Savings Bank took out two previous Trump loans — an $ 8 million connected to a New York golf club and a $ 15 million tied to a Manhattan condo development — and combined them into one $ 23 million loan, with Trump Park It was mortgaged by the Avenue.

Over the years, the Trump Organization has gradually reduced the principal. In 2015, Allen Weisselberg, the chief financial officer now accused by Trump, told Forbes that it dropped to $ 14.3 million. The following year, the New York Times reported that it dropped to $ 12.5 million. In 2019, one of Weisselberg’s minions told Forbes that the figure was $ 9.8 million.

Trump is set to pay off the remaining balance in 2020. But last year, the Trump Organization faced problems throughout its portfolio. In the 12 months ended in August 2020, the Trump International Hotel in Washington, DC made a net operating loss of $ 8.6 million. Revenues at the president’s four golf resorts will fall by more than 50% in 2020. Both commercial tenants on Trump Park Avenue have closed their locations.

The Trump Organization chose to extend the loan’s maturity date until 2021. Doing so has minimal cost: the interest rate has risen from 3.25% to 3.5%.

But in September 2021, a bank representative signed a paper proving that the loan had been paid in full. That document became a matter of public record earlier this month.

Because the debt is relatively small, Trump’s overall balance won’t be too affected by the compensation. In September, Trump had an estimated $ 1.3 billion in debt against $ 3.8 billion in assets.

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