Business Genius Donald Trump’s European Golf Resorts Have Lost $90 Million Since 2012
President Donald Trump’s collection of decaying, overrated European golf resorts has hemorrhaged $90 million since he opened his Aberdeen in Scotland in 2012, despite him having invested more than $200 million in the various ventures.
“Donald Trump has invested more than $200 million in his golf resorts in Europe. His return on that investment? Losses year after year, that now total roughly $90 million,” Forbes correspondent Dan Alexander who has covered Trump for more than two decades, tweeted on Saturday.
Donald Trump has invested more than $200 million in his golf resorts in Europe.
His return on that investment? Losses year after year, that now total roughly $90 million. https://t.co/qXUpqTKBCR
— Dan Alexander (@DanAlexander21) January 2, 2021
The figures are both comically staggering and predictably pathetic.
“Donald Trump continued losing money in 2019 at his two golf properties in Scotland, where he has been struggling for years, according to regulatory documents released this week. Turnberry, the most prestigious property in Trump’s golf empire, lost about $3 million on revenue of $26 million. A second business, near the Scottish city of Aberdeen, bled $1.5 million on $4.3 million in sales,” Alexander wrote in his report.
“That’s bad news for the Trump Organization, which has now declared losses of roughly $90 million at its European golf resorts, according to an analysis of records from Ireland and the United Kingdom. Since the president opened his Aberdeen course in 2012, he has lost $15.5 million,” Alexander continued. “Business has been even worse at Turnberry, which Trump bought in 2014 for $65 million. Despite investing an additional $75 million or so to fix up the property from 2014 to 2018, the place piled up losses of $58 million, according to an analysis of financial reports. The 2019 figures, first reported by The Scotsman, bring Turnberry’s total losses to $61 million since 2014.”
The values of Aberdeen and Turnberry, Alexander added, comprise half of Trump’s golf portfolio.
But they are not the only European Trump country clubs bleeding money.
“In Doonbeg, Ireland, he spent nearly $20 million on a third property, the Trump International Golf Links & Hotel, in 2014,” Alexander noted in his analysis. “The president poured in another $12 million from 2015 to 2018, but he failed to see much of a return, racking up about $9 million in losses. Irish documents released in December show an additional $1.5 million of losses in 2019.
Trump’s links in the United States have fared just as poorly.
“The 643-room Trump National Doral used to throw off big money. Documents obtained through public records requests show that 2015 profits (defined as earnings before interest, taxes, depreciation and amortization) hit $13.8 million on $92.1 million of revenue. Trump’s politics eventually poisoned the property, however,” Alexander discovered.
Things only worsened after Trump was elected.
“Revenues dropped to $87.5 million in 2016, and profits slid to $12.4 million. After election night, the resort lost 100,000 booked room nights, according to someone familiar with the business,” wrote Alexander. “Revenue plummeted to $75.4 million in 2017, and profits sank to $4.3 million.
Alexander based his findings on regulatory documents obtained via public records.