United States

Trump Organization sells rights for hotel in Washington DC for $375 mn

10:41, 15 November 2021
Trump Organization sells rights for hotel in Washington DC for $375 mn Photo: Stefani Reynolds/Consolidated News Photos

The Trump Organization struck a deal with the investment fund CGI Merchant Group, based in Miami, to sell the rights for Trump’s International Hotel in Washington DC for $375 million, according to a source familiar with the matter.

The investment firm has signed a contract for purchasing a lease, according to the Wall Street Journal. It followed the October’s talks between the Merchant Group and former President Donald Trump’s firm to sell the lease of the hotel.

However, the deal is far from completion because it has to be approved by the General Services Administration after the 60-day review as the building is a federal government’s property.

At the beginning of October, the House Oversight Committee made documents public which said that the hotel, located a few blocks from the White House, lost $70 million during Trump’s presidential term despite him claiming that the hotel was making lots of millions of dollars. The company had been seeking an opportunity to sell the building since 2019, but in the last year, it had to stop the process due to the pandemic that seriously battered the hospitality industry.

Donald Trump opened the hotel back in 2016, at the time when he was a candidate for the presidency.