Miami-based investment company CGI Merchant Group is hashing out a deal worth more than $370 million with former US President Donald Trump‘s company for the lease of Trump International Hotel in Washington, according to a media report. CGI has discussed using another luxury hotel brand name and removing Trump’s name from the property, housed in the Old Post Office building that is owned by the federal government, The Trump family converted the building into a hotel after a 2012 lease deal, according to the Wall Street Journal. The deal’s terms are being examined by the House committee as part of inquiries into the former president’s business deals and conflicts of interest.
Nearly a year after polls, Republicans back Trump’s rigged election claims
CGI has held talks with Hilton, the hotel operator it has partnered with in the past, as part of the discussions, according to CNN.
“Hilton is committed to growing its presence globally,” said Hilton’s Meg Ryan. “We are always focused on meeting our guests’ needs in the destinations where they want to travel — with the right hotel in the right place at the right time. We continue to recognize the opportunity for growth in the nation’s capital. However, we have nothing to confirm at this time.”
Donald Trump demands executive privilege on January 6 riots documents
Documents released by the House Oversight Committee last week showed the Trump property lost $70 million while Trump was in office. Trump’s company has been trying to sell the lease since 2019 following allegations that foreign officials stayed at the hotel to influence Trump.
Those efforts received a setback due to the severe impact of COVID-19 pandemic on the hospitality industry.
Baseball slugger Alex Rodriguez’s company is a large investor in CGI’s hospitality fund that is likely to be used for the deal.
Any deal will have to pass a 60-day review from the General Services Administration. The government entity that owns the Old Post Office building has received no formal notification of a sale for the lease.
Joe Biden to reverse Trump-era cut of monuments in Utah
An official told CNN the lease agreement requires written notification from the current tenant of a proposed transfer of interest in the lease.
The official also said the Trump Organization must also provide GSA with detailed information including descriptions of the prospective buyer’s intended use, authorisation to operate a business in the jurisdiction, qualification to do business with the federal government. The company will also be required to provide details of its financial and operational capabilities.