Kushners to make $400M from Chinese firm in real estate deal
- Author: Elsie Buchanan Mar 16, 2017,
Mar 16, 2017, 0:32
The planned $4-billion transaction includes terms that some real estate experts consider unusually favorable for the Kushners.
The Kushner family, owners of the tower at 666 Fifth Avenue, would reap a large financial windfall courtesy of a Chinese company, even as Jared Kushner, a senior adviser to Trump as well as his son-in-law, helps oversee USA foreign policy.
Technology firm 1WorldSync has reached a deal to lease 22,247 square feet at 300 S. Riverside Plaza in Chicago, according to a report on Monday from. Anbang could face a review by the Chinese government, which has been pressing to stop overseas investments and which has a range of pending issues with the Trump administration. Also, as the agreement will see its implementation, the Kushners will see much of the outstanding mortgage amount disappear.
The document offers a rare look at a major deal by a close Trump associate and family member.
Last year, the company purchased New York's historic Waldorf Astoria hotel with plans to overhaul the iconic building and fill it with luxury condos.
The proposed partnership is also seeking additional investors through a controversial federal program, EB-5, which rewards wealthy foreign investors with green cards. Kroll called some $1.1 billion in debt on the building a "loan of concern". He said they were along the lines of what might be expected for a trophy asset at a prime location. A White House spokesman told Bloomberg that Kushner will recuse himself from subjects such as the EB-5 visa program.
The deal would unite two politically powerful families in both countries and raise conflicts of interest questions.
It will allow the family to buy back the building's more lucrative retail spaces and maintain a 20 percent stake for the property, which has been struggling financially.
Wu also counts the son of a top army marshal as a business partner.
When contacted, Kushner Cos. declined to give any comment and said the deal is still in its initial stage.
An Anbang spokesman stressed the company's transparency and compliance with regulatory requirements.
Kushner, the husband of Trump's daughter Ivanka, stepped away from his business interests in property development and magazine publishing to take on a role as Trump's senior advisor.