Trump in a slump? Flagship tower sees condo sale slowdown

Condominium sales at the Trump Organization’s flagship residential tower seem to be in a bit of a slump.

Only one unit has sold this year in Trump Tower so far, and only two sold since last September, the Wall Street Journal reported. Meanwhile, there were three sales each in the first four months of 2016 and 2017.

At the end of the first quarter of 2018, 19 of the tower’s 231 units were listed for sale, the highest volume of for-sale listings in the building in any first quarter since 2009, according to StreetEasy. In April, a one-bedroom sold in the building for $1.63 million, marking the second-lowest priced sale in the building since 2011.

Prospective buyers are potentially deterred by the building’s connection to President Trump and the heightened security at the building since the 2016 election. Overall, though, older condo buildings are facing fierce competition from newer, glossier condo buildings (think “Billionaires’ Row”) and a soft luxury market.

“It looks to me like the decline at Trump Tower reflects weakness in other buildings, but maybe more,” Gregory Heym, an economist with Brown Harris Stevens and Halstead Property.

Asked about condo sales, Eric Trump told the Journal the family “couldn’t be more proud of our properties and their continued success. Trump Tower is not only our flagship, but is truly one of the most prestigious properties anywhere in the world.” [WSJ] — Kathryn Brenzel