Monday, February 14, 2022

Group Including A-Rod Buying Trump’s DC Hotel

Former MLB slugger, Alex Rodriguez, is set to be a Key Investor for the group, in talks to buy the Trump Organization's Hotel in Washington, DC.

The Investment Group angling to pay $375 million for Trump’s Hotel in Washington, DC. Rodriguez is a General Partner and Key Contributor in a Deal that could close within weeks. The Fund is said to be led by Miami-based CGI Merchant Group.

The group buying the Hotel is the Hospitality Opportunity Fund, a Joint Venture among CGI, Rodriguez’s A-Rod Corp., and New York-based Real Estate Investor Adi Chugh.

Previous reports from last year, identified CGI Merchant Group as the Property’s Buyer, and said the Firm planned to Partner with Hilton to rebrand Trump’s Hotel as a Waldorf Astoria Outpost.

While the Trump Organization owns Leasing Rights, the U.S, General Services Administration (GSA) owns the Property and has Final say over the Sale, and to Finalize the Annual Fee for the Property. Trump is also giving up the Management of the Hotel.

If Finalized, the Sale Price could help Trump’s Company recoup its Losses on the Hotel Property. The Trump Organization has sought to Sell its Rights to the Hotel since 2019.

The Trump Organization spent more than $200 million Renovating the 263-room Hotel, which is located in the Old Post Office building in Washington, DC, and Reopened to the Public in 2016, shortly before Trump took Office.

The House Committee on Oversight and Reform, a Democrat-led Panel probing potential Conflicts of Interest during Trump’s Presidency, said last year that the Trump Organization Lost more than $70 million on the Property during his Term in Office.

The Transaction would represent another Major Deal for Rodriguez, who has reinvented himself as a Businessman and Investor in Retirement.

After being involved in a failed bid to Buy the New York Mets in 2020, Rodriguez was part of a Group that acquired a Minority Stake in the NBA’s Minnesota Timberwolves last year. The Deal granted Rodriguez’s Group the right to acquire a Controlling Stake by 2023. Aside from his Investments in Sports, Real Estate, Art, and other sectors, Rodriguez has worked as an MLB Analyst for ESPN and Fox Sports.

NYC Wins When Everyone Can Vote! Michael H. Drucker

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