Trump Name Coming Off Trump SoHo Hotel

Trump SoHo, 246 Spring Street on Sunday evening

NEW YORK CITY—Amidst reports of sluggish business and Trump-related investigations, the Board of the Trump SoHo Condominium and New York Trump International Hotels Management are parting ways. Trump SoHo experienced declining room prices and the onsite Koi Restaurant closed earlier this summer, citing lack of business. News headlines reported basketball teams and stars including Cleveland Cavaliers’ LeBron James refusing to stay there when traveling to New York.

CIM Group, a California-based real estate investment firm, had acquired control of the Trump SoHo property in a 2014 foreclosure auction. The real estate owners paid the Trump Organization to manage the property and to allow use of the Trump name. Last week, the Trump Organization announced a buyout, bringing an end to its management and licensing agreement with the hotel condo by the end of this year.

Trump SoHo’s launch was initially announced in 2006 on Donald Trump’s reality TV show, “The Apprentice.” At the onset, the 46-story, 391 residence property, located at 246 Spring Street, faced strong community oppositions for its size, and location in a commercial and industrial zoned area.

While sold as residential condominium units, Trump SoHo got around the zoning restrictions using a “condo hotel” loophole in which the residents are prohibited from staying for more than 120 days out of the year. However, neighborhood residents have questioned the enforceability of such provision.