The Real Deal Miami

Trouble at Trump project

August 05, 2008 12:36PM

The buyer of a $730,000 unit at the new Donald Trump hotel in Fort Lauderdale alleges that the project’s developer violated securities laws by marketing the condo-hotel as an investment. John Taglieri, a Massachusetts restaurateur with a unit under contract, sued the hotel Monday to cancel the contract and get his $146,000 deposit back, saying that developer SB Hotel Associates’ sales materials touted the project’s favorable income share and significant equity, and served as proof that the Trump International Fort Lauderdale was being sold as a business venture, not a vacation home. Many Florida condo-hotel projects face litigation as buyers seek to scale back commitments amid plummeting property values and a declining tourism market.