The Trump Organization has reached a deal that lets it walk away from a 46-story New York skyscraper with a hotel and condominiums that has had trouble attracting business, the New York Times reported on Wednesday.
The decision to reach a buyout deal on the Trump SoHo property was made by Eric and Donald Trump, Jr., sons of President Donald Trump, along with a small group of senior executives, the newspaper reported, citing company officials.
The Trump Organization did not respond to a request to comment. Terms of the deal were not disclosed.
The property opened about 11 years ago and was promoted on the reality show "The Apprentice," which featured Donald Trump.
In 2010, Trump and the promoters of his Trump SoHo hotel-condominiums were sued by buyers who accused them of fraudulently touting out-sized sales figures to inflate the project`s financial health.
He and his co-defendants settled the case in November 2011, agreeing to refund 90 percent of $3.16 million in deposits, while admitting no wrongdoing, the newspaper said.
Under the exit deal, the Trump Organization will end its contract with the building`s owner, the CIM Group, an investment firm in California that focuses primarily on real estate, the newspaper reported.
CIM did not immediately respond to a request for comment.
(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)
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