Trump's Doral Resort 'Severely Underperforming' As President's Brand Takes More Hits
In federal disclosures, President Donald Trump has listed his 643-room resort in Doral, Florida — home of the famed "Blue Monster" golf course — as his biggest moneymaking resort.
But a company representative seeking to lower the resort's property tax bill told local officials the resort was suffering and needed a discount on its taxes, the Washington Post reports, the first instance of a Trump employee acknowledging that Trump's politics have dented his personal brand.
Trump bought the resort in 2012 for a reported $150M. In 2017, the assessed value was $110.3M. A tax consultant, Jessica Vachiratevanurak, sought to have its tax bill reduced.
She told Miami-Dade county officials that the club expected to take in $85M in revenue in 2017 but took in just $75M, that net operating income shrank from $13.8M to $4.3M, that the occupancy rate was 53% in 2017 compared with 77% for competing resorts, and that Doral was getting an average $200 per room per night while competitors were getting $249.
“There is some negative connotation that is associated with the brand,” she said, according to the Post.
Her pleas worked: a magistrate gave the resort an $80K cut on its taxes, the Post reports. An analyst who reviewed the financial documents for the Post found "profitability is down across the board."
Eric Trump, who has been leading The Trump Organization since his father took office, along with his brother, Donald Trump Jr., disputed the Post's findings, declining to cite specifics.
While the Doral's finances have suffered, other parts of The Trump Organization also appear to be sputtering. The rollout of two national chains of hotels — a budget American Dream brand and a more upscale Scion brand — was canceled, with Trump executives blaming the current political climate.
Several buildings have successfully petitioned to remove Trump's name, including a number of Manhattan condo towers and a luxury hotel in Panama. The Trump SoHo Hotel in Manhattan rebranded as The Dominick and reported a nearly immediate surge in business.