Donald Trump’s company has repaid a loan it made in the first year of the pandemic, according to a document filed with New York City officials this month.
In 2010, Investors Savings Bank took over two previous Trump loans – one for $ 8 million linked to a New York golf club and another for $ 15 million linked to a condo development in Manhattan – and consolidated them into a single loan of $ 23 million, with Trump Park Avenue mortgaged against it.
Over the years, the Trump Organization has slowly reduced the principal. In 2015, Allen Weisselberg, Trump’s now indicted CFO, said Forbes that it had fallen to $ 14.3 million. The following year, the New York Times reported that it had fallen to $ 12.5 million. In 2019, one of Weisselberg’s underlings said Forbes the number was $ 9.8 million.
Trump was due to repay the remaining balance in 2020. But last year the Trump Organization faced problems across its portfolio. In the 12 months ended August 2020, the Trump International Hotel in Washington, DC recorded a net operating loss of $ 8.6 million. Revenues at the president’s four golf resorts fell more than 50% in 2020. The two commercial tenants of Trump Park Avenue have closed their offices.
The Trump Organization chose to extend the maturity date of the loan until 2021. This came with a minor cost: the interest rate fell from 3.25% to 3.5%.
But in September 2021, a representative of the bank signed a paper confirming that the loan had been fully repaid. This document became public matter earlier this month.
Because the loan was relatively small, Trump’s overall balance sheet will not be affected much by the gain. In September, Trump had an estimated debt of $ 1.3 billion against $ 3.8 billion in assets.