Kushner Companies in talks with Trump Organization over Pier Village hotel

Extell Development co-owns the Jersey Shore project with Kushner Companies

New York Weekend Edition /
Mar.March 11, 2018 09:00 AM

From left: Gary Barnett, Donald Trump, Jared Kushner and Pier Village. (Credit: Gage Skidmore, Lori Berkowitz, Alistair Gardiner for The Real Deal, and Jersey Shore Premier Properties)

Talk about keeping it in the family: Jared Kushner’s family business is in talks with President Donald Trump’s business to operate a hotel in the former’s Jersey Shore project, Pier Village.

Discussions have reportedly been ongoing for two years and a letter of intent has been signed between the two companies, Kushner Companies and the Trump Organization, for the latter to operate at least one hotel in the development, according to the New York Times.

Pier Village is co-owned by Kushner Companies and Extell Development, who bought the resort property for about $200 million in 2014. Last March, The Real Deal reported the third phase of the Pier Village development would include 269 new condo units as well as additional retail space and a hotel.

The Kushners and Trumps’ potential hotel deal raised questions from the Trump Organization’s external ethics adviser, which the Times cited as one of the reasons the deal has not yet been finalized.

Independent parties such as attorney Marilyn Glynn, formerly general counsel in the Office of Government Ethics, are also raising ethical concerns, however she noted that a deal between the Kushners and Trumps’ businesses does not intrinsically violate any ethical rules. To Glynn, the concern is more to do with the financial arrangements of both Trump and Kushner with their respective companies.

“I think the financial concerns trump the familial ones, so to speak,” she told the Times.

Kushner, who is currently a senior adviser to President Trump, resigned his position as CEO of Kushner Companies a little over a year ago to serve in the White House. Though Kushner sold some of his real estate assets, he kept a stake in Pier Village.

For as for Trump, he continues to own the Trump Organization, however the company is now managed by his sons. Most of his assets are in a revocable trust, as TRD reported.

The White House confirmed the two companies’ discussions over a potential hotel deal, but did not comment further. [NYT]Erin Hudson


Related Articles

arrow_forward_ios
Make Greenland Great Again? Trump wants to buy Arctic territory
Make Greenland Great Again? Trump wants to buy Arctic territory
Make Greenland Great Again? Trump wants to buy Arctic territory
Hamptons’ priciest summer rental to host MAGA extravaganza next month
Hamptons’ priciest summer rental to host MAGA extravaganza next month
Hamptons’ priciest summer rental to host MAGA extravaganza next month
Multifamily player Tides Equities faces $6.5B dilemma in the Sun Belt
Multifamily player Tides Equities faces $6.5B dilemma in the Sun Belt
Multifamily player Tides Equities faces $6.5B dilemma in the Sun Belt
Governor Kathy Hochul, casino chips, film camera
How Hochul’s film tax credit, casino plan affect real estate
How Hochul’s film tax credit, casino plan affect real estate
Gov. Kathy Hochul
Hochul pitches conversion tax break. Will developers bite?
Hochul pitches conversion tax break. Will developers bite?
A photo illustration of Mohegan Sun's Ray Pineault and Soloviev Group's Stefan Soloviev (Getty, Soloviev Group, Mohegan Gaming & Entertainment)
Soloviev partners with Mohegan on casino bid
Soloviev partners with Mohegan on casino bid
Albany buildings
How Albany is dealing with its 1K vacant buildings
How Albany is dealing with its 1K vacant buildings
Seth Weissman, John Catsimatidis, Mayor Eric Adams
They said what now? Real estate quotes of the week
They said what now? Real estate quotes of the week
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...