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After dropping the Trump Soho name, business is booming

Revenue per available room jumped over 20% in 2018

The Dominick Hotel at 246 Spring Street and CIM Group's Shaul Kuba (Credit: The Dominick and CIM Group)
The Dominick Hotel at 246 Spring Street and CIM Group's Shaul Kuba (Credit: The Dominick and CIM Group)

Revenue is on the rise at the Dominick Hotel, a change seemingly prompted by dropping the hotel’s previous name, Trump Soho.

The hotel has recorded a 20 percent spike in revenue per available room since it was renamed in late December 2017, according to STR research cited by Bloomberg. At a time when the price of luxury hotel suites are barely increasing, the hotel also recorded an $51 price increase in room prices, or 20 percent. The hotel, which stands 46 stories tall and has 391 rooms, also reportedly rented out 7,000 more room nights in 2018, compared to 2017.

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“No matter what your stance, one thing almost everyone certainly wants to take a vacation from is politics,” Gesina Gudehus-Wittern, director of marketing firm IpsosStrategy3, told Bloomberg. “If Trump’s perspectives don’t align with your own, you don’t want to show yourself on social media at a hotel that bears his name.”

Owner CIM Group didn’t have to make upgrades to the hotel, which features large rooms with some of the best views in the city. Despite the promising financial boost, CIM is marketing the hotel for a sale, and reportedly contacted prospective buyers in recent weeks. The firm, one of Manhattan’s largest condominium developers, won the tower in a foreclosure auction in 2014 and purchased the management and license agreements from the Trump Organization in 2017 for $6 million.

Before taking over the property, CIM Group served as the lender to developers Sapir Organization and the Bayrock Group, a firm led by Russian-American Felix Sater, who sought to develop a Trump Tower in Moscow with the Trump Organization. [Bloomberg] — David Jeans

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