+

Cookies on the Business Insider India website

Business Insider India has updated its Privacy and Cookie policy. We use cookies to ensure that we give you the better experience on our website. If you continue without changing your settings, we\'ll assume that you are happy to receive all cookies on the Business Insider India website. However, you can change your cookie setting at any time by clicking on our Cookie Policy at any time. You can also see our Privacy Policy.

Close
HomeQuizzoneWhatsappShare Flash Reads
 

Trump could rake in over $100 million in profits by selling his DC hotel for the highest price in the city's history

Dec 2, 2021, 23:14 IST
Business Insider
The Trump International Hotel is seen though security fencing on June 02, 2021 in Washington, DC.Kevin Dietsch/Getty Images
  • Trump is poised to sell his lease on the Old Post Office, which houses the Trump International Hotel.
  • He could rake in more than $100 million in profits from the $375 million sale.
Advertisement

Former President Donald Trump's company is poised to sell its lease on Washington, DC's Old Post Office, which houses the Trump International Hotel, for a record-breaking $375 million, which would send Trump more than $100 million in profit, The Washington Post reported Thursday. The company signed a contract with investment firm CGI Merchant, which plans to make the hotel a Waldorf Astoria with Hilton Worldwide.

Trump first bought the rights to the building in 2013 for a 60-year period. The Trump Organization spent $217 million transforming the building from government offices and a shopping center to a five-star hotel, which opened in October 2016. But the hotel has operated at a significant loss every year, losing more than $70 million during Trump's time in office, according to the House Committee on Oversight and Reform.

If the sale goes through, it will be the highest per-room price paid for a DC hotel, the Post reported. Trump still owes Deutsche Bank $170 million in loans for the property and will have to pay the federal government a small piece of the profits.

Eric Trump, the ex-president's second-eldest son and an executive vice president of the Trump Organization, told the Wall Street Journal in October 2019 that his family was looking to sell the hotel for a whopping $500 million.

Legal and ethics experts long argued that Trump's business interests, including the hotel, posed serious constitutional and ethical issues when Trump was president. Many believe Trump should have divested from all of his businesses when he took office. As Trump publicly teases a 2024 presidential bid, the issue will likely arise again.

Advertisement

The Constitution prohibits US government officials, including the president, from accepting gifts or emoluments from foreign governments. The DC hotel has been patronized by countless foreign officials since Trump took office.

You are subscribed to notifications!
Looks like you've blocked notifications!
Next Article