The Real Deal New York

Manafort to put up Manhattan condo, Hamptons home to make bail

The former Trump campaign manager's attorneys say they have a deal, but federal judge must approve it first
By Will Parker | November 30, 2017 02:48PM

From left: 174 Jobs Lane, 123 Baxter Street, Robert Mueller and Paul Manafort (Credit: Google Maps and Getty Images)

Paul Manafort and Special Counsel Robert Mueller have struck a deal for Manafort’s bail that would see President Trump’s former campaign manager put two of his New York properties up as collateral, according to court documents filed by Manafort’s attorneys Thursday.

Mueller’s prosecutorial team previously asked that Manafort’s bail be set at $10 million to ensure that he would show for trial, which is set to take place sometime next year. On Thursday, they came to an agreement with Manafort that would include the use of four properties as collateral, including a condominium at 123 Baxter Street in Manhattan and a home at 174 Jobs Lane in Bridgehampton.

The two other properties being used as collateral are a home at 10 Saint James Drive in South Florida’s Palm Beach Gardens and one in Alexandria, VA. Together, the four homes have a total net assessed value (deducting outstanding mortgages and other obligations) of $11.7 million, according to court documents.

A federal judge must approve the terms of the bail before Manafort can be released from house arrest. Manafort and his business associate Rick Gates have both pleaded not guilty.

Should Manafort violate the terms of the bail, the homes would be seized by the federal government.

There are other Manafort properties in New York subject to potential forfeiture. His Oct. 30 indictment on tax evasion and money laundering charges included allegations that a Brooklyn townhouse at 377 Union Street and a condo at 29 Howard Street in Manhattan were part of an international money laundering scheme that depended on dozens of offshore entities to move foreign cash into the U.S.

The mortgage at 377 Union, originated by the bank operated by Trump campaign adviser Stephen Calk, is also a subject of a separate investigation launched by Manhattan District Attorney Cyrus Vance.

Earlier this month, The Real Deal reported that Brad Zackson, a longtime Manafort associate, was attempting to bring 377 Union to market for as much as $9 million. Such a sale could be complicated by the Manafort indictment, as a lis pendens has been placed on the home by the authorities, which typically complicates both financing and title insurance for a potential buyer.