How is Trump benefiting financially from Trump Hotel in NYC?

March 6, 2019 4:01 PM

What is Trump’s financial interest in Trump International Hotel in NYC? (Central Park West). Is he a part owner? Is he making money from licensing? Does it have his name, but he’s not making money off the Hotel? Basically, when people stay at the hotel, does Trump benefit financially, and if so, how?
posted by andoatnp to Law & Government (2 answers total)

Trump's Company Reports Profit From Foreign Governments Rose Last year (Bloomberg, February 25, 2019)

The president placed his business holdings in a revocable trust that allows him to continue to profit from his company’s activities. His sons Eric and Donald Jr. run the Trump Organization. Democrats and watchdog groups have repeatedly criticized Trump for maintaining his business while in public office.

Federal Watchdog Finds Government Ignored Emoluments Clause With Trump Hotel (NPR, January 16, 2019)

Officials leasing the Old Post Office Building for the Trump International Hotel in Washington improperly ignored the Constitution's anti-corruption clauses when they continued to lease the government property to President Trump even after he won the White House, according to an internal federal government watchdog. [...]

"The GSA Office of General Counsel recognized that the President's business interest in the lease raised issues under the U.S. Constitution that might cause a breach of the lease, yet chose not to address those issues," said Inspector General Carol F. Ochoa. "As a result, GSA foreclosed an opportunity for an early resolution of these issues and instead certified compliance with a lease that is under a constitutional cloud." [...]

The emoluments clauses have produced several lawsuits during Trump's presidential tenure. One of the lawsuits advancing through the legal system is from the attorneys general of Maryland and the District of Columbia, who argue the hotel enables Trump to profit illegally off his presidency. Subpoenas in that case went out last month, but Justice Department lawyers are asking an appeals court to block the lawsuit.

Also, this December 2018 report from Politico mentions what happened with similar lawsuits in New York:

A similar suit against Trump brought by Democratic lawmakers cleared an initial hurdle in federal court in Washington, while a pair of suits filed in New York were thrown out by a judge there. That decision is on appeal.

posted by Little Dawn at 6:37 PM on March 6, 2019

I’m afraid I don’t have a definite answer for you, but I have this telling phrasing from the Washington Post, emphasis mine:

Although Trump’s hotel in Washington has prospered during his presidency, some other properties — farther from the seat of power — have struggled. In New York, for instance, Trump’s hotel in SoHo lost business, and last year its owners cut ties with the Trump Organization.

Trump International Hotel in Manhattan — the one remaining Trump-branded hotel in New York — saw room revenue drop from 2015 to 2017, according to figures obtained by The Post. So the Saudi visit was a welcome boost.

Not Trump-owned, but Trump-branded.

According to this page at StreetEasy, Trump International Hotel is owned by “TRIOMPHE RESTAURANT C,” which is a hotel and restaurant company that is housed in Trump International Hotel NY, according to this Yelp post. We know that Trump’s hotel in DC, Trump SoHo, and Trump Waikiki aren’t owned by the Trump Organization, so it is reasonable to assume there’s a licensing deal here too. But I feel like I’ve gotten to the point of connecting newspaper clippings tacked to my wall with red string—maybe tweet David Fahrenthold, the reporter from the article I posted above, and ask him?
posted by ejs at 7:18 PM on March 6, 2019 [2 favorites]