A Puerto Rican golf club branded with Donald Trump’s name has filed for bankruptcy, Bloomberg’s Dawn McCarty reported.
The Trump International Golf Club Puerto Rico listed $US9.2 million in assets against $US78 million in debt, according to the course’s petition filed Monday.
However, the golf club’s ties to Trump, who is seeking the Republican presidential nomination, go no further than the name.
“We have zero financial investment in this course,” Eric Trump, his son and an executive in the company, said in a phone interview to Bloomberg. “This has absolutely nothing to do with Trump. This is a separate owner. We purely manage the golf course.”
The resort has been in default of its obligations to Trump, Eric Trump said.
It is one of the 17 golf properties affiliated with Trump Organisation Inc. The club which opened in March 2004, licensed the Trump name in 2008 and renamed itself from Coco Beach Golf to its current name.
The club received $US26.4 million in municipal bonds four years ago to finance the resort’s construction, Bloomberg reported. They were downgraded to CCC- last month by the Standard & Poor — earning junk bonk status where it used to have investment grade — mirroring Puerto Rico’s debt.
It’s biggest lender is the Puerto Rico Tourism Development Fund, with a claim of $US32.6 million.
The golf resort doesn’t affect the company financially, though the Trump Golf business hasn’t been completely untouched by the real estate billionaire’s comments on immigration. According to the Orange County Register, Sports network ESPN also became on of Trump’s detractors — recently moving its ESPY Celebrity Golf Classics from a Trump-owned course in Rancho Palos Verdes to the Pelican Hill Golf Club in Newport Beach.
Read the the whole story at Bloomberg.
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