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Plans to sell the Trump International Hotel in Washington DC were suspended after donations reached less than the requested price portion.
JLL, which the Trump organization hired last spring to market the assets, told CNBC that plans to sell the assets were “suspended indefinitely. “The Trump organization has sought $500 million for the asset, which, like other hotels and resorts in the company, has benefited from President Donald Trump’s management favors for more than four years.
The assets had sales of $40. 5 million in 2019, according to the Office of Government Ethics, now, like the rest of the hotel industry, the assets are in – and are covered through a $100 million loan that Deutsche Bank has provided for renovations.
“At this point, they can simply hand over the keys or stay with them and integrate them into the media corporation that the president would make the decision to create,” said Brian Friedman of Friedman Capital, who volunteered for the hotel and owns several homes on the surface. “I don’t think they’re going to get the courage they expected. “
A spokesman for the Trump organization said the company had no plans to default on the loan and had earned donations of more than $350 million, “which would have been the maximum value paid for by a hotel” in Washington DC.
Other points that could have possibly distracted some would-be buyers come with the requirement to suspend Trump’s call at the hotel and the 60-year lease on the old post office site with the General Services Administration.
The Trump Organization outpervised its competition for leasing in 2011, paying $3 million a year, a figure that rises with inflation. Experts told CNBC that, as a result, any offer for the assets would be approximately $150 million or $175 million.
Overall, the developer invested $200 million in the property. In 2012, Trump told the Washington Post that he had paid “too much for the old office. “
[CNBC] – Georgia Kromrei
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