Jennifer Van Laar@jenvanlaar · Nov 18, 2024

🧵Gavin Newsom learned a lesson after I exposed the truth about his gifted mansion in Fair Oaks, CA, and used a…

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Summary

Investigative journalist exposes details about California Governor Gavin Newsom's $9.1 million mansion purchase through an LLC formed just days before closing, raising questions about financing sources, property ownership structure, and potential tax implications given Newsom's required financial transparency as a public official.

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#1
🧵Gavin Newsom learned a lesson after I exposed the truth about his gifted mansion in Fair Oaks, CA, and used a Registered Agent service for the LLC he formed to purchase his new mansion instead of using the Plumpjack registered agent. But still, how can an entity that was just formed 11/12/24 close the purchase of a $9.1 million home 2 days later?
#2
MHBD Farms, LLC purchased the home from Daniel Pritzker, cousin of Illinois Gov. JB Pritzker and billionaire Hyatt Hotels heir. Newsom and Co. were a little cagier with how they named this LLC. Instead of naming it with the street address, they used the first initials of his children.
#3
The property tax bill is hefty, but I guess since an LLC owns it and we don't yet know who the manager is, maybe Gavin won't have to pay it? Over $117,000 a year just for property tax.
#4
There are a lot of legalities I'll be diving into this week related to his family living there. Since they allegedly don't own the home, I believe that if they're not paying rent they have to count the fair market value of the rent as a gift from whoever owns the LLC. And, there are questions about how the funding flowed into the LLC and was considered sourced and seasoned within two days. More coming this week! Stay tuned!
#5
For reference - my original piece on Gavin's gifted mansion: redstate.com/jenvanlaar/202…
#6
The "Sweetheart" refi loans Newsom received for both the Fair Oaks home and his former Marin mansion: redstate.com/jenvanlaar/202…
#7
Newsom's chronically delinquent property taxes in both Marin and Sacramento counties: redstate.com/jenvanlaar/202…
#8
And my September 2021 follow-up on the original piece, including inconsistent statements from Newsom's spox about who paid the original $3.7 million on the Fair Oaks home: redstate.com/jenvanlaar/202…
#9
More: Tax value= $10,296,390; he paid $9,100,000. Not a solid investment from that point of view, but who knows who REALLY made that investment? Perhaps his sister's brother-in-law, who was the buyer's agent, would know?
#10
While the reported sale price is $9.1 million, it was listed at $9.5M on 9/10/24. Then 15 days before this sale closed the price changed to $8.5M, but for an ordinary sale they would have already been in escrow. 🤔 Not saying there's anything untoward; I have to look into it.
#11
🚨 I now have the Grant Deed for Gavin Newsom's new $9.1M mansion (courtesy of an LLC). Interestingly, the deed was dated 11/6/24 then signed by Zuloo's manager and notarized 11/7/24 - immediately after the election and 5 days before the LLC's Articles of Incorp were filed. Real estate professionals tell me it's not unheard of for an LLC to be formed right at the time the transaction is going to close. In Newsom's case, though, he has extra financial transparency requirements, especially for a second home, and there are absolutely questions about the financing. This is still a work in progress so I don't have all of the answers yet - sharing with you all as I go. (deleted a prior version of this that said Deed of Trust and not Grant Deed)