What Financial Assets Will Donald Trump's Children Inherit?
Despite Donald Trump's reputation as a successful businessman, his business dealings have been somewhat floundering in recent years. And with five children splitting his assets, they may not come out of it as well as one might expect. Yes, the financial assets that Donald Trump's children will inherit may not be all that extravagant.
Aside from his political career, much of Trump's success has hinged on his real estate dealings. The former president positioned himself as a real estate mogul and maintained throughout his presidency that his holdings were performing well. However, following a review of his financial records, it seems that he may have exaggerated to say the least. Rather than spread out his children's ownership in his assets, the Trump children are primarily linked to one property: The Trump International Hotel in Washington, D.C., per Raw Story.
Documents released by the House Oversight Committee reported that Donald Trump's Washington D.C. hotel experienced losses of over $70 million, requiring serious assistance from some questionable sources. Between 2017 and 2020, Trump received more than $200 million in loans from foreign governments, one of Trump's own holding companies, DJT Holdings LLC, and Deutsch Bank, per The Washington Post. Potential conflicts of interest surrounding the hotel are being examined by the committee and this particularly unsuccessful venture seems to be all that Trump's children are tied to.
The Trump family's struggling D.C. hotel
Donald Trump's three eldest children — Don Jr., Eric, and Ivanka — each hold 7.5% interests in a lease on the Washington D.C. property, per Forbes. And while the children may be losing out, they are arguably somewhat responsible as well. For her part, Ivanka was the one who presented the property that went on to become The Trump International Hotel as a solid investment choice. Donald signed off on it and the family leased the building in 2013 and put $200 million into it. Meanwhile, Don Jr. worked on leasing and Eric focused on operations. But despite the family's dedication to the endeavor, House documents revealed that the hotel did not perform well.
Considering its poor performance, it is perhaps unsurprising that the Trump family is considering selling the D.C. hotel. The Wall Street Journal reported that Trump and his heirs are looking to sell their rights to the property for $370 million, which would go a long way towards repairing the damage to their financial state. Trump's children's 7.5% stakes would grow from $225,000 to $15 million each if the sale went through, per Forbes. That's quite the increase indeed, but with the hotel's questionable performance, it may be a hard sell.
Much hinges on the family's ability to make a profit on their hotel. Should they fail to do so, Ivanka, Don Jr., and Eric may not be as well off as their parents may hope.