I wanted to do an analysis, on the costing of the Trump Tower Toronto using information that is publicaly available. The tower itself was developed by Talon Development based out of Toronto, with the Trump Organization managing the Hotel Operations. Some Investors have taken Talon to Court with regards, to feeling misled on the nature of their investment being more commercial the personal real estate investment. They are now facing commercial taxes on their condo/hotel units and this has caused several back and forth lawsuits.
| Developer Variables | Variable Costs |
|---|---|
| For the Developer of | Trump International Hotel and Tower Toronto |
| Cost of Construction | $285,975,000.00 |
| Land Aquisition Cost | $50,000,000.00 |
| Number of Units | 369 |
| Cost Per Unit | $910,501.36 |
| Market Rate Interest Rate | 3.00% |
| Finance Cost (at Market Rate over 5 years) | $10,079,250.00 |
| Profit Per Unit ( For Developer): | $552,698.51 |
| Total Development Profit: (Gross) | $203,945,750.00 |
| Total Retail Value of Development | $550,000,000.00 |
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