The Trump Organization has announced that it will part ways with Trump Soho, the hotel-condo hybrid that opened near the Holland Tunnel a decade ago. The 46-story building has been struggling to attract guests; as a result, the organization has reached an agreement with the building’s owners, CIM Group, for an exit deal by the end of the year, reports the New York Times.
The building has struggled since its debut in 2007, both in selling its condo units and bringing in hotel guests willing to pay its high rates since its debut in 2007. In April, the hotel’s main restaurant shut down, with a lawyer citing declining business since the election as one of the primary reasons. The hotel has also come under scrutiny lately due to its early ties to Russian financiers, as well as for the allegedly misleading practices that Trump’s children, Ivanka and Donald Jr., used to lure prospective buyers.
It has not been disclosed what the buyout amount will be as a result of the negotiations; however, CIM Group will have to pay Trump Organization for the years remaining on the contract. CIM will likely go on to rebrand the property.