(TheRedWire.com) – Nearly a decade ago, Donald Trump paid handsomely to transform Washington, DC’s old post office into a luxury hotel. The price tag was a whopping $200 million. Throughout the former president’s term, Democrats dogged him about the property and suggested foreign and domestic influencers might contract blocks of rooms as a means of currying favor with the president. Of course, they could never prove their allegations. When Trump purchased the 60-year lease for the property from the Government Services Administration (GSA), some said it would be nearly impossible to operate the hotel profitably at that price tag. Perhaps that was never the long-term goal.
Trump could profit $100 million from sale of DC hotel – The Washington Post https://t.co/bGrp9V2EIX
— DJTNN.com (@realDJTNN) December 2, 2021
Even though the hotel lost millions of dollars after opening in September 2016, it appears the former president is about to make bank. Recently, Trump’s company agreed to sell the remaining GSA lease term to Miami-based investment firm CGI Merchant for a whopping $375 million. Reportedly, the investment company plans to turn the hotel into a Waldorf Astoria in partnership with Hilton Worldwide.
The massive price tag breaks every record for a hotel sale in Washington, DC. Trump’s net profit would likely eclipse $100 million. It’s an investment no hedge fund manager could come close to achieving. The hotel market is booming as companies expect the pandemic will wind down soon, and people will begin to venture back out again. Real estate brokers say a lack of five-star hotels in Washington, combined with the building’s rich history, and a backdrop of presidential parades every four years, likely drove the property’s price up.
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