Trump Condo Goes South
By Cheryl Clarke
When it comes to real-estate failure, Donald Trump is no novice. The Trump Ocean Resort Baja, a condominium project north of Rosarito, Baja California, has fallen short as plans recently collapsed. Investors lost more than $32.2 million in deposits that they will never get back. The Donald did not invest his own money into the ocean side project, but instead, he and daughter Ivanka lent their names and images in exchange for a licensing fee. The Trumps sold 188 condo units for $122 million at a sales event in 2006 and even advised buyers in October 2007 that the venture was still a go. But buyers beware: investors like Guadalupe Mendoza, who refinanced her house for a $200,000 down payment, received news that bank financing had fallen through, and that she and others would no longer live in the lap of condo luxury. Investors probably should have seen this coming as the Trump International Hotel and Tower in Chicago struggles and his casino company, Trump Entertainment and Resorts Inc., filed for bankruptcy protection in February. After so many failed real-estate attempts, it would be fitting for someone to finally tell Trump “he’s fired,” but that probably won’t stop him from opening more hotels and casinos.
Via Gawker
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