Kushner Companies in talks with Trump Organization over Pier Village hotel

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

TRD New York TRD 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
Hong Kong

Foreign firms are vacating Hong Kong offices like never before

Foreign firms are vacating Hong Kong offices like never before
Mayor Bill de Blasio (Getty, Wikimedia)

Landlords challenge city laws protecting non-paying businesses

Landlords challenge city laws protecting non-paying businesses
From left: G.H. Palmer's Geoffrey Palme, RFR Holdings' Aby Rosen, Macklowe Properties' Harry Macklowe, Thor Equities' Joseph Sitt and Ellicott Development's Carl Paladino (Getty, iStock)

Harry Macklowe, Aby Rosen and Joe Sitt among 6,500+ developers, landlords who got PPP bucks

Harry Macklowe, Aby Rosen and Joe Sitt among 6,500+ developers, landlords who got PPP bucks
Photo illustration of Ryan Serhant and  22-43 Jackson Avenue (Getty, Trader Joe's) 

Trader Joe’s to open in LIC early next year

Trader Joe’s to open in LIC early next year
Mayor Bill de Blasio and Dr. Oxiris Barbot (Getty, iStock)

Day care — and its landlords — get a lifeline

Day care — and its landlords — get a lifeline
Shawn Mobley (left), is being replaced by Andrew McDonald (right) as CEO of the Americas at Cushman

Shakeup at Cushman: Mobley out, McDonald promoted

Shakeup at Cushman: Mobley out, McDonald promoted
arrow_forward_ios

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

Loading...