- The Trump Organization plans to sell its lease of a Washington hotel.
- Buyer CGI Merchant Group plans to remove Donald Trump’s name from the building.
- According to reports, the transaction is worth US$375 million.
According to US media reports on Sunday, the Trump Organization has reached an agreement to sell its hotel lease in Washington to CGI Merchant Group for $375 million. The group plans to remove the name of former President Donald Trump from this luxury hotel. Removed from the facade.
According to the “Wall Street Journal” report, the Miami-based investment fund has reached a separate agreement with Hilton Worldwide Holdings to rename the Trump International Hotel to the Waldorf Astoria Hotel.
AFP contacted CGI, which declined to comment. The Trump Organization and Hilton Group also did not immediately respond to requests.
This historic building is just steps away from the White House and Pennsylvania Avenue of the U.S. Capitol, and is not owned by the Trump Organization.
The building used to be the capital’s main post office and was owned by the US government, which leased it to Trump’s real estate company in 2013 for 60 years, with the option of extending it for another 40 years.
loss
The Trump Organization invested approximately $200 million in the renovation of this building, which was built in the late 19th century and was listed on the National Register of Historic Places.
- According to a report from the House Oversight and Government Reform Committee, Trump Old Post Office LLC, a company created to manage hotels, lost more than $71 million between the hotel’s opening in 2016 and August 2020.
- It has never been profitable.
- During Trump’s presidency, this institution, known for its huge atrium and towering clock tower, was a meeting place for Republican officials, donors, and lobbyists.
At the time, several lawmakers and others expressed concern that the 263-room hotel was hosting foreign dignitaries visiting Washington.
They pointed out that Trump may have conflicts of interest. He is both the President of the United States and a major shareholder of the Trump Organization.
Congress is investigating the matter.
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