Trump’s tariff threat could deflate his brand’s appeal in India’s luxury real estate market

Trump’s India tirade could deflate his brand’s swagger in luxury real estate market

As US President Trump targets India over its purchase of Russian oil, there is growing concern that the premium positioning of the brand Trump Tower in India’s real estate market may be at risk.

While there has been no direct Indian investment by the Trump Organisation, which manages Trump-branded real estate projects, its longstanding licensing agreement with Tribeca Developers has seen ultra-luxury residential and commercial projects carrying the Trump name across Mumbai, Pune, Gurugram and Kolkata. The business model relies not on asset ownership, but on brand prestige, which some property experts say could now under pressure.

“We may see some near-term impact on Trump-branded properties,” a Delhi NCR-based property consultant told Moneycontrol. “For Trump projects, the brand attracts a premium more than the actual real estate. If the current situation regarding tariffs continues, the Trump brand may take a hit - and it may end up competing in the market as just another luxury project.”

India is currently home to the largest portfolio of Trump-branded properties outside the United States, with over 10 million square feet in the pipeline. Projects include Trump Towers in Mumbai (developed by Lodha Group), Pune (Panchshil Realty), and Gurugram (M3M Group), as well as a new residential project in Kolkata. The only commercial Trump-branded development in India till date - Trump World Centre in Pune - is under construction, in partnership with Kundan Spaces.

Tribeca Developers, founded by Kalpesh Mehta, has the exclusive India rights to the Trump brand and has shifted from merely licensing the name to co-developing projects. Mehta is said to have a close rapport with Donald Trump Junior, who, along with Eric Trump, oversees the Trump Organisation.

For Tribeca, the Trump brand is central to its luxury strategy and the company is working toward a 50-50 mix of Trump and non-Trump branded developments.

However, any dent to the Trump brand’s appeal could disrupt that balance, and real estate analysts believe that while ultra-luxury buyers are typically resilient to political fluctuations, the Trump brand’s equity is closely tied to perception - both global and domestic.

“In this segment, perception matters. A luxury buyer wants association with global prestige, not political baggage. If Trump’s India rhetoric continues to make headlines, there could be a shift in buyer sentiment - even if temporarily,” said the consultant.

Others remain more sanguine. “We do not see a major impact in terms of sales of Trump-branded projects in India. Projects like those have a fixed set of clients, and sales are generally via invitation. Buying a luxury home is not driven by emotion. As it stands, supply in the ultra-luxury category is less than demand,” said Prashant Thakur, executive director and head of research at Anarock Group. He added that sales in the newly launched Gurugram project have been strong.

Tribeca is also scouting for locations to develop new Trump-branded projects in Hyderabad and Mumbai, people aware of the matter have told Moneycontrol on condition of anonymity.