March 17, 2009
Maison de L’Amitie
In a tumbling real estate market where the prices for the top tier of luxury home are dropping at a stomach-churning rate, there are a few bright spots. This past May, mogul Donald Trump managed to sell his Palm Beach, Florida estate, the famed Maison de L’Amitie, for a cool $100 million. The buyer was fellow billionaire Dmitry Rybolovlev, a Russian chemical oligarch.
While the final sale amount seems impressive, the full story shows that this supposed bright moment in a dark time for sellers is a little bit dimmer than it appears. Rybolovlev received a whopping $25 million discount off of the asking price listed for the estate. This is the largest concession in price for a single residence ever recorded. Now that’s more in line with what we’d expect from this market.
Still, the sale was overall a good one for Trump. Considering he only spent $41.4 million when he purchased the Maison de L’Amitie four years prior, he still managed to turn a tidy profit.
1 Comment »
March 23, 2009
Lee :
I think that was Trump’s overall plan from the beginning. Most people were probably too intimidated to negotiate with Trump.
The buyer had to be someone who could not only afford it but who could say, “Here’s my offer; take it or leave it.”
Lee