Staff Reports
Former President Donald Trump and his sons are not happy with a New York judge’s valuation of the Mar-a-Lago Palm Beach resort. Judge Arthur Engoron stated in a summary ruling that the property is worth between $18 million and $28 million, much lower than the Trump Organization’s valuation of $426,529,614 to $612,110,496. Donald Trump Jr., in his typical witty fashion, sarcastically tweeted, “If Mar-a-Lago is worth $18 million … I’ll take 10 please!!!”
President Trump’s lawyers argued that the banks involved in the loans didn’t care about the valuations because they did their own assessments. However, the judge ruled that under New York law, the inflated property values can be subject to legal action even if no harm was caused. The judge pointed out that Mar-a-Lago was overvalued by “at least 2,300%” compared to the county’s estimate of $18 million to $27.6 million for tax purposes.
Both valuations have their flaws. The county’s estimate explicitly states that it may be less than the actual market value. On the other hand, the Trump Organization’s Statements of Financial Condition include a disclaimer that the asset values are determined by Trump himself and may not reflect the actual market value.
Despite the disagreement, the actual market value of Mar-a-Lago remains unclear. President Trump’s lawyers presented a real estate expert who valued the property between $425 million and $612 million, which they claimed was conservative. However, the judge dismissed this valuation as speculative and lacking objective evidence.
In addition to the valuation dispute, the judge also brought up the conservation easement imposed on Mar-a-Lago in 2002, which restricts further development of the property. President Trump’s personal valuations did not take these restrictions into account.
The Trump family has made it clear that they have no intention of selling Mar-a-Lago, and they believe the case is politically motivated. Eric Trump, in a passionate post, expressed his frustration with the New York legal system and accused the judge and the Attorney General of trying to destroy his family’s life, company, and accomplishments.
"If Mar-a-Lago is worth $18 million … I’ll take 10 please!!!"
Trump and 2 of his sons criticized a judge for suggesting his Mar-a-Lago Palm Beach resort is worth between $18–28 million.
Mar-a-Lago was overvalued by “at least 2,300%” the judge said. https://t.co/V7wChypVRa
— The Epoch Times (@EpochTimes) September 28, 2023
This is just one part of a larger civil suit brought by New York Attorney General Letitia James, which also targets President Trump’s sons. The suit is scheduled for a non-jury trial starting on October 2, and James is seeking penalties of $250 million, as well as the removal of the three defendants from their company positions and a ban on holding executive posts in New York State.
President Trump is currently facing multiple civil suits and criminal indictments in various states, which adds to the political drama surrounding him and his family. The outcome of this case will have significant implications for the Trump Organization and its future.
