Real estate investor warns Trump's NY case will 'wreak financial havoc' on the city
Cardone Capital’s CEO has already reallocated $500M set aside for NY investments to FL
Trump's NY case will wreck 'financial havoc' on real estate industry: Grant Cardone
Private equity fund manager and Cardone Capital's Grant Cardone says he's already invested $500 million intended for New York real estate into Florida.
As former President Donald Trump’s legal battles continue Monday, one prominent real estate investor is doubling down on the troubling precedent the case sets for the overarching industry.
"This could take decades to fix. This will cost New York City hundreds of billions of dollars and literally wreak financial havoc on the city," private equity fund manager and Cardone Capital CEO Grant Cardone said on "Fox & Friends."
"The tax base is going to go down. Property tax collections are already off," he continued. "Somewhere between $8 and $10 billion a year has been lost in tax collections already in New York City."
In late February, Cardone announced that his firm would "immediately discontinue" working and investing in the Empire State after the $355 million verdict in Trump’s civil fraud trial.
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The former president finds himself in a New York City courtroom again Monday morning, just a few weeks after the fraud case, for a hearing related to Manhattan District Attorney Alvin Bragg’s hush money payments case allegedly made during the 2016 presidential campaign.
Capital Cardone CEO Grant Cardone argued that legal action against Donald Trump will "wreak financial havoc" on New York City. (Fox News)
Cardone previously told "Fox & Friends" that Trump’s initial ruling created civil implications for pension funds, lenders and public real estate investment trusts in New York, potentially causing a decline in property values and an increase in loan defaults that could roll over to regional banks.
Monday’s legal implications, according to Cardone, show further politicization when it comes to doing business in the Democrat-led state.
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"I felt like New York had finally recovered from COVID and the vaccine mandates. And look, every piece of great real estate has its price. And I thought this would be the year that we could invest in New York City, and take advantage of a correction in the marketplace," the CEO started to explain.
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Kevin O'Leary: Effort to seize Trump's assets is concerning financial markets globally
TV personality and 'Shark Tank' host Kevin O'Leary says the Trump New York fraud case is 'tainting the American brand' on 'Jesse Watters Primetime.'
"It became clear to me that in New York City, at least in New York City, I don't actually own my property. Any government overreach or out-of-control government could come in and seize my property," he added. "I see what is happening to Trump is a sanction against Trump and a seizure of his property. So we decided not to invest there. Last week, we placed that same $500 million in Florida."
Trump is also up against a Monday deadline to post a $454 million bond that was imposed in his civil fraud trial. New York Attorney General Letitia James, who has accused him of inflating his net worth, granted him a 30-day grace period that expires today. If he is unable to satisfy the judgment, James has threatened to begin seizing Trump's property and assets.
Fox News’ Brooke Singman contributed to this report.