A New York judge ruled on Tuesday that former President Donald Trump and his company committed fraud by massively overvaluing his assets and inflating his net worth. As a result, the valuation of Trump’s Mar-a-Lago property in Palm Beach, Florida has been reduced to a shockingly low $18 million—a claim the Trump family is aggressively contesting.
The Tuesday ruling by Manhattan Judge Arthur Engoron came as a key part of New York Attorney General Leticia James’ sweeping civil case against members of the Trump organization, including the former president. Siding with James in his 35-page ruling, Engoron affirmed the allegation that Trump made blatantly false statements in business documents in order to secure more favorable loans from various banks while building his real estate empire. As punishment for the fraud, Engoron ordered that several Trump Organization LLCs—including Trump Tower in midtown—were to be removed from the former president’s control and dissolved.
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But amid the developing political and financial ramifications of this decision, additional outrage has arisen over Judge Engoron’s assessment of Trump’s properties outside of Florida. The judge’s ruling claimed that Trump’s Mar-a-Lago Resort in Palm Beach, Florida had been overvalued by 2,300 percent—meaning the 20-acre estate is worth an anemic $18 million rather than the $160 million previously reported.
However, many—including the Trump family—are calling out the ridiculousness of the ruling and say it falls far short of fair market value. “It’s utterly delusional to think that property is only worth $18 million,” said a real estate broker to the New York Post on the condition of anonymity. “If that property were on the market today, I would list it at around $300 million, minimum … at least.”
For comparison, a nearby two-acre plot of wooded land within walking distance of Mar-a-Lago is valued at $150 million, and a similar plot slightly further away is listed for $200 million. Trump’s resort, which features 128 rooms, tennis courts, waterfront pools, a 20,000-square-foot ballroom, and an adjacent golf course, dwarfs these plots ten times over.
Trump’s sons, Eric and Don Jr., took to social media to defend the family’s property value. Eric Trump called the assessment “an attempt to destroy my father” and called the whole situation “corrupt and coordinated.”
In an attempt to destroy my father and kick him out of New York, a Judge just ruled that Mar-a-Lago, in Palm Beach Florida, is only worth approximate “$18 Million dollars”… Mar-a-Lago is speculated to be worth we’ll over a billion dollars making it arguably the most valuable… pic.twitter.com/b0U6J5ykWJ
Don Jr. similarly said that the low assessment was issued only to suit the judge’s “narrative” and warned that “the legal system has been commandeered by radicals hell bent on destroying America!”
Yea, but Mar-a-Lago with 10X the land, ocean frontage, & one of the most spectacular homes in the world on it is worth only $18 million because a judge wants it to be so for his narrative.
Our legal system has been commandeered by radicals hell bent on destroying America! https://t.co/aHevFkZyLr
Former President Trump addressed the situation personally on Truth Social, calling Engoron a “political hack judge.” He also praised the beauty of the Mar-a-Lago property, where he maintains his personal residence, and said it is worth more than “100 times” the new valuation.
Following Tuesday’s ruling, Trump’s legal team issued a statement saying that they intend to “immediately appeal this decision because President Trump and his family, like every American business owner, is entitled to their day in court.” The remaining components of Attorney General James’ suit against Trump are scheduled for trial next week.
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