$1.1b Trump Tower project in Australia scrapped as developer calls brand ‘toxic’
David Young, chief executive of Altus Property Group, said the company decided to end its association with the Trump brand because it had become “increasingly toxic” in Australia
Plans for Australia's first Trump Tower on the Gold Coast have been scrapped three months after the A$1.5 billion ($1.1 billion) luxury development was announced, with the developer and the Trump Organization offering conflicting explanations for the collapse of the deal.
The proposed 91-storey tower was designed to become Australia's tallest building at 335 metres, exceeding the height of The Shard. The project was planned to include 285 hotel rooms, 272 luxury apartments, shops, restaurants and a beach club on the Gold Coast, says the BBC.
David Young, chief executive of Altus Property Group, said the company decided to end its association with the Trump brand because it had become "increasingly toxic" in Australia.
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Young cited "the Iran war and everything else" as contributing to the decision and said Altus had chosen to "part company" with the Trump Organization some time ago. He added that the company was exploring other luxury branding options in an effort to keep the broader development project alive.
The Trump Organization disputed that account. Company spokesperson Kimberly Benza said the agreement was terminated because Altus Property Group failed to meet "the most basic financial obligation" required under the deal.
Benza described Young's references to global events as a "ploy to distract" from what she called the developer's own defaults and "empty promises" tied to the A$1.5 billion project.
Gold Coast Mayor Tom Tate said the local council never received a formal development application for the project. He suggested the arrangement may have collapsed during negotiations over profit margins and branding fees.
The proposal had generated a divided public reaction. Supporters gathered about 3,600 signatures backing the development, while more than 120,000 people signed a petition opposing it.
Despite the cancellation, the Trump Organization said it remained interested in future opportunities in Australia and looked forward to exploring other potential property developments in the country.
