GSA Sells Historic Old Post Office Building, Once the Trump Hotel, on Pennsylvania Avenue
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The General Services Administration (GSA) has officially announced the sale of the Old Post Office Building, located at 1100 Pennsylvania Avenue in Washington, D.C. This historic structure has undergone significant changes in recent years, transitioning from its previous role as the Trump International Hotel from 2016 to 2022. The Trump family firm sold the leasing rights for an impressive $375 million, after which the hotel reopened in late 2022 as the Waldorf Astoria Washington D.C., managed by Hilton.
The GSA’s sale includes specific terms that ensure “permanent public access to the iconic clock tower,” while also establishing strong protections for the building’s architectural heritage through a binding preservation covenant. This deal also features a dedicated fine arts covenant, which guarantees that the American public retains ownership of significant artworks within the facility, including Robert Irwin’s “48 Shadow Planes” and a historic statue of Benjamin Franklin.
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The Old Post Office Building is a recognizable landmark on Pennsylvania Avenue. (Kevin Carter/Getty Images / Getty Images)
The GSA’s sale is proceeding under the terms of the existing ground lease, which grants BDT MSD Partners, a merchant bank, the right of first offer. According to a report from The Wall Street Journal, BDT & MSD Partners acquired the building and land for $80 million, with discussions underway to sell the property for a total of $400 million.
Hilton has a long-term agreement to operate the hotel as the Waldorf Astoria, and this arrangement will continue with the new leaseholder, as reported by the Journal.
TRUMP ORGANIZATION CLOSES $375M SALE OF DC HOTEL THAT WILL BECOME A WALDORF ASTORIA
The Old Post Office Building contains historic art, including a statue of Benjamin Franklin. (Kevin Dietsch/Getty Images)
Originally completed in 1899, the Old Post Office Building served as the headquarters for the U.S. Post Office Department and the post office for Washington, D.C. It is listed in the National Register of Historic Places and is renowned for its Romanesque Revival architecture, featuring a prominent clock tower and atrium. The building is strategically located near the White House and other significant Washington, D.C. landmarks.
The Waldorf Astoria, the former Trump International Hotel at the Old Post Office Building in Washington, D.C., as seen on Aug. 18, 2022. (Kent Nishimura / Los Angeles Times via Getty Images)
Before the redevelopment into a hotel, taxpayers were incurring approximately $6 million annually in losses on the building. Since then, over $250 million in private sector capital has been invested in the property, and taxpayer revenues from the last decade, including the current sale, are projected to exceed $110 million.
The GSA has also listed numerous other federally-owned properties for sale since early last year, as the Trump administration aims to reduce federal spending on underutilized office space and real estate.
Check out what’s clicking on FoxBusiness.com.
The General Services Administration (GSA) has officially announced the sale of the Old Post Office Building, located at 1100 Pennsylvania Avenue in Washington, D.C. This historic structure has undergone significant changes in recent years, transitioning from its previous role as the Trump International Hotel from 2016 to 2022. The Trump family firm sold the leasing rights for an impressive $375 million, after which the hotel reopened in late 2022 as the Waldorf Astoria Washington D.C., managed by Hilton.
The GSA’s sale includes specific terms that ensure “permanent public access to the iconic clock tower,” while also establishing strong protections for the building’s architectural heritage through a binding preservation covenant. This deal also features a dedicated fine arts covenant, which guarantees that the American public retains ownership of significant artworks within the facility, including Robert Irwin’s “48 Shadow Planes” and a historic statue of Benjamin Franklin.
TRUMP REVEALS NEW WHCA DINNER VENUE AFTER SHOOTING CHAOS DERAILED GALA
The Old Post Office Building is a recognizable landmark on Pennsylvania Avenue. (Kevin Carter/Getty Images / Getty Images)
The GSA’s sale is proceeding under the terms of the existing ground lease, which grants BDT MSD Partners, a merchant bank, the right of first offer. According to a report from The Wall Street Journal, BDT & MSD Partners acquired the building and land for $80 million, with discussions underway to sell the property for a total of $400 million.
Hilton has a long-term agreement to operate the hotel as the Waldorf Astoria, and this arrangement will continue with the new leaseholder, as reported by the Journal.
TRUMP ORGANIZATION CLOSES $375M SALE OF DC HOTEL THAT WILL BECOME A WALDORF ASTORIA
The Old Post Office Building contains historic art, including a statue of Benjamin Franklin. (Kevin Dietsch/Getty Images)
Originally completed in 1899, the Old Post Office Building served as the headquarters for the U.S. Post Office Department and the post office for Washington, D.C. It is listed in the National Register of Historic Places and is renowned for its Romanesque Revival architecture, featuring a prominent clock tower and atrium. The building is strategically located near the White House and other significant Washington, D.C. landmarks.
The Waldorf Astoria, the former Trump International Hotel at the Old Post Office Building in Washington, D.C., as seen on Aug. 18, 2022. (Kent Nishimura / Los Angeles Times via Getty Images)
Before the redevelopment into a hotel, taxpayers were incurring approximately $6 million annually in losses on the building. Since then, over $250 million in private sector capital has been invested in the property, and taxpayer revenues from the last decade, including the current sale, are projected to exceed $110 million.
The GSA has also listed numerous other federally-owned properties for sale since early last year, as the Trump administration aims to reduce federal spending on underutilized office space and real estate.
