OK. Say Mar-A-Lago isn’t charging them.
That still leaves #1.
Or, most likely, they put their organization's neutral-by-necessity-brand and goals of tending to the needy first and had reason to believe that the hullaballoo the press created meant too many people would believe the lies and would boycott the event or withhold support...and in the short window of time before the event there would not be sufficient time for the press damage to be corrected or draw in big donors who would also be covering their brands.
The primary purpose of the Salvation Army's directors, after all, are to help desperate people in times of need, not to tend to their own needs or the needs of a politician who is perfectly able to fend for himself.
Note that Trump holds no grudges on them over it- he understands the need to protect a brand.