Trump’s coveted 40 Wall Street is under “lender watch” due to declining income, according to a report Bloomberg reported on Friday that Donald Trump’s heavily mortgaged skyscraper at 40 Wall Street is under “lender watch” due to declining revenue and rising expenses.
According to a monthly filing on the building’s remaining $126.5 million mortgage, the vacancy rate at the 72-story building, which is Trump’s most valuable property, increased to nearly 18% in the third quarter of last year, Bloomberg reported. Meanwhile, costs are said to have increased 11% since the mortgage’s inception in 2015. Trump has frequently boasted about the 1995-purchased structure, which was valued at $540 million in 2015.
Long-term declines in high-rise office leasing in Manhattan were made worse by the COVID-19 pandemic, when many businesses shut down and employees of those that survived were forced to work from home.
According to the filing, Wells Fargo, which is servicing the mortgage on 40 Wall Street, “has reached out to the borrower for a status of leasing developments” and the strategies for enhancing the performance of the asset according to Bloomberg.
40 Wall Street (Wikipedia)