Former President Donald Trump’s company is reportedly closing a deal to sell the Trump International Hotel in Washington for more than $ 370 million.
Miami-based investment firm CGI Merchant Group is in talks to lease a 19th-century building, according to the Wall Street Journal.
The 122-year-old building, located just a few blocks from the White House in the old home mail pavilion, still belongs to the federal government, but with an extension, the lease term is close to 100 years.
CGI has already been in talks with hotel operators, including the Hilton Waldorf Astoria brand, to change Trump’s name to another hotel manager’s name, the Journal reports.
The deal could eventually approach $ 400 million, the Journal writes, but less than $ 500 million when they first bought the lease in 2019.
The Trump Organization leased the building from the General Services Administration in 2013 and underwent a $ 250 million renovation to turn it into a luxury hotel before opening it to guests in 2016.
He opened his doors just weeks before the presidential election that brought Trump into the White House.
As president, Trump hosted dozens of dinners at the hotel restaurant and came down from ethics watchdogs for encouraging administration staff to visit the facility.
A group for civic responsibility and ethics in Washington, D.C., has visited the hotel 973 times by government officials during Trump’s presidency.
However, the coronavirus pandemic has hit the hotel as well as many luxury hotels across the country.
According to a report by the House Oversight and Reform Committee last week, the hotel has suffered more than $ 70 million in losses since it opened in 2016, despite increased sales by foreign governments.
The report said the Trump organization had to pay the hotel $ 27 million from other parts of its business and receive preferential treatment to delay payments on a $ 170 million loan from a major lender.
The Trump administration has denied the findings.
“People are against us making so much money at the hotel, so we might be ready to sell,” son Eric Trump told the Wall Street Journal in 2019, when the family first rented to the market.