Washington, D.C
Former Trump International Hotel in DC Headed to Foreclosure Auction
CGI Merchant Group’s Waldorf Astoria hotel in Washington, D.C. is headed to a foreclosure auction in June after months of financial difficulties.
Chicago-based BDT & MSD Partners, the main lender of $285 million in financing backed by the hotel, filed an affidavit of nonresidential mortgage foreclosure on Friday, according to the Business Journals, which cited records filed with the D.C. Recorder of Deeds. The auction is scheduled for June 20 at the District office of Alex Cooper Auctioneers.
Miami-based CGI defaulted on $252.7 million in outstanding debt on the property earlier this year. CGI, in partnership with Hilton, purchased a leasehold on the 269-room hotel, at 1100 Pennsylvania Avenue NW, in 2022 for $375 million from former President Donald Trump. Within a month of acquiring the hotel, CGI rebranded it from the Trump International Hotel to the Waldorf Astoria.
“CGI is engaged in productive discussions with the property’s manager, Hilton, and several other parties who want to reach a consensual financing solution that reflects the realities of today’s challenging, rising rate environment,” a CGI spokesperson told Commercial Observer in a statement. “MSD’s unilateral decision to file a foreclosure notice is inconsistent with the discussions and possibly invalid. Although our goal is to continue advancing constructive negotiations with all parties, including MSD, we’re prepared to take all necessary steps to protect the rights of CGI and its partners.”
Representatives for BDT & MSD did not immediately respond to a request for comment.
The hotel is located within D.C.’s historic Old Post Office, which remains one of the tallest buildings in the District. The federal government in 2012 leased the property on a 60-year term to the Trump Organization, which then spent some $200 million renovating it into a luxury hotel.
The Trump International Hotel opened in 2016 just a few months before Trump was elected president. It was a source of controversy while Trump was in office because his family profited from the hotel, which was often visited by foreign dignitaries and their entourages.
Trump is currently facing a $355 million penalty for real estate fraud, with the hotel being one of the assets implicated in the case. The New York judge in that case ruled that he won the contract from the General Services Administration due to false information, rendering Trump and his children liable for the profit he received from the property.
Just because the foreclosure auction is set for the Waldorf Astoria, however, does not mean that its sale is a foregone conclusion. Before the auction was announced, CGI was in the midst of negotiating a $75 million capital infusion into the property from Mavik Capital Management — and it’s possible that CGI and MSD Partners could reach a new deal before the June 20 deadline.
“Mavik has not reached a definitive agreement to provide rescue capital to restructure the property’s balance sheet,” a Mavik spokesperson told Commercial Observer. “If the parties decide they want a consensual resolution, we will reengage and anchor a constructive outcome.”
Nick Trombola can be reached at ntrombola@commercialobserver.com.
Washington, D.C
First nonstop flight from San Antonio to Washington, DC takes off March 2
San Antonio’s first nonstop flight to Washington D.C. will officially take off on March 2, 2025.
American Airlines will launch the service, becoming the only airline to offer nonstop service between Reagan National Airport (DCA) and San Antonio International Airport (SAT).
Earlier this week, it was confirmed the nonstop flight from DCA to SAT would happen. The U.S. Department of Transportation formally approved an exemption to allow the nonstop flights.
“We have finally landed the plane,” Jesus Saenz, Director of Airports for the San Antonio Airport System, told KSAT in an interview. “Super excited about the partnership that we have established with American Airlines.”
There will be two flights daily, one going to DCA and the other to SAT.
Flight 1718 will depart from SAT at 6:35 a.m. and arrive at DCA at 10:41 a.m. The flight number is significant and commemorates the year San Antonio was founded.
Flight 1947 will depart from DCA at 7:45 p.m. and arrive at SAT at 10:43 p.m. The flight number commemorates the year the U.S. Air Force was established.
“This nonstop flight between SAT and DCA will have a transformative impact on San Antonio. We’re eager to capitalize on this opportunity with American Airlines and are committed to maximizing the economic benefits for our region,” said Erik Walsh, San Antonio City Manager.
This flight is important to the San Antonio community as our city is one of the fastest-growing cities in the United States. SAT has also continuously seen record-breaking travel numbers throughout 2024.
The need for a nonstop service will impact our military, business, educational and research communities, among others.
“I’m grateful to those who have championed this effort and for the bipartisan support of our representatives in the Senate and House, whose advocacy was instrumental in making these flights a reality. We look forward to the positive impact this nonstop service will have for years to come,” said Mayor Ron Nirenberg.
Tickets for the new service will be available for purchase beginning Dec. 23 through aa.com or American’s mobile app.
Copyright 2024 by KSAT – All rights reserved.
Washington, D.C
Delta to Begin New Nonstop Flights From Seattle To Washington D.C. in March – Travel And Tour World
Copyright © Travel And Tour World – All Rights Reserved
Washington, D.C
D.C. mayor, Leonsis break ground on new arena
WASHINGTON, D.C. — Capitals and Wizards owner Ted Leonsis, NBA commissioner Adam Silver, District of Columbia Mayor Muriel Bowser and other officials celebrated the start of an $800 million downtown arena renovation with a ceremonial sledgehammer swinging Thursday inside what will be a new atrium entryway.
The event unveiling renderings for what Capital One Arena should look like when it is fully transformed in time for the 2027-28 NHL and NBA seasons took place as questions swirled nearby on Capitol Hill about the city’s hopes of luring the NFL’s Commanders. A provision to transfer the land including RFK Stadium to the district was removed from Congress’ slimmed-down, short-term spending bill hours later, sending that team back to the drawing board.
In the Chinatown neighborhood, there were handshakes and smiles, as work to retain the Capitals and Wizards had also been ongoing for some time.
Keeping the teams was a significant victory for Bowser. They agreed last spring to remain in the city as part of a $515 million, publicly funded project, after a planned move across the Potomac River to Virginia proposed roughly a year ago fell apart in that state’s legislature.
“I’ve got to say, what a difference a year makes,” Ward 2 council member Brooke Pinto said. “Ted Leonsis, thank you so much for believing in this city. … Thank you for your dedication to our city.”
Leonsis called it a landmark day for the district and his company. His Monumental Sports and Entertainment will pay for the rest of the project, which area leaders hope will serve as a central hub of the nation’s capital between its many neighborhoods.
“When you see those signs, ‘Please excuse our dust,’ there’s going to be a lot of dust here,” Leonsis said. “This project is massive. It’ll probably take three seasons to do it, and it’s $800 million. It is a significant, significant program. But after you see what we’re going to do for the players, the fans and the city, it’ll be worth the wait.”
The work, which will take place in several stages from now through fall 2027, includes more than doubling the size of locker rooms while also adding suites and other amenities. The building initially opened in December 1997.
“This is nearly a billion-dollar investment for [players’] benefit and for the community’s benefit,” Silver said, alluding to future All-Star Games and other events that will take place. “The NBA and NHL will have less than half the dates at the end of the day because what’s happened now with these entertainment palaces — they are full, it seems, practically every night of the year.”
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