Despite challenges, Trump and GSA still a team

AP photo
Real estate developer Donald Trump's effort to turn the Old Post Office building in Washington into a luxury hotel has run into opposition -- and one official protest -- from his competitors, but so far has weathered the challenges.

Washingtonian reported
 Tuesday that BP-Metropolitan Investors LLC, a Washington-based group including Hilton Hotels and Resorts that competed with Trump on the project, had filed an official protest in late April of the General Services Administration's decision to choose the Trump proposal. Trump’s plan envisions turning the building into a 250-room luxury hotel with restaurants, a spa and conference facilities.

GSA rejected the protest on the grounds that the Old Post Office renovation is not an official federal procurement and therefore Metropolitan had no grounds to challenge it.

According to documents Washingtonian obtained under the Freedom of Information Act, Metropolitan said GSA had failed to take into account the fact that several of Trump's high-profile real estate projects had run into trouble. The group also said Trump's proposal for the Old Post Office relies on an assumption that he would be able to charge room rates Metropolitan characterized as unrealistic.

When GSA selected the Trump Organization in April to take on the project, it said the company’s proposal "represented the strongest development team, best long-term potential for the local community and most consistent stream of revenue for the federal government."

"Deciding to move forward with redeveloping this iconic property will save millions in taxpayer dollars each year," Robert Peck, commissioner of GSA's Public Buildings Service, said at the time. "The tremendous response from the private sector," he added, allows the government to "better utilize a historic property on our nation's Main Street."

In a statement to Washingtonian, Michael Cohen, special counsel to Trump, said of the challenge to the project: "This is sour grapes by two bitter individuals who are disappointed after the GSA rejected their last-place bid. Donald Trump has no issue with money and there's no issue with the GSA.”
 
Stay up-to-date with federal news alerts and analysis — Sign up for GovExec's email newsletters.
FROM OUR SPONSORS
JOIN THE DISCUSSION
Close [ x ] More from GovExec
 
 

Thank you for subscribing to newsletters from GovExec.com.
We think these reports might interest you:

  • Forecasting Cloud's Future

    Conversations with Federal, State, and Local Technology Leaders on Cloud-Driven Digital Transformation

    Download
  • The Big Data Campaign Trail

    With everyone so focused on security following recent breaches at federal, state and local government and education institutions, there has been little emphasis on the need for better operations. This report breaks down some of the biggest operational challenges in IT management and provides insight into how agencies and leaders can successfully solve some of the biggest lingering government IT issues.

    Download
  • Communicating Innovation in Federal Government

    Federal Government spending on ‘obsolete technology’ continues to increase. Supporting the twin pillars of improved digital service delivery for citizens on the one hand, and the increasingly optimized and flexible working practices for federal employees on the other, are neither easy nor inexpensive tasks. This whitepaper explores how federal agencies can leverage the value of existing agency technology assets while offering IT leaders the ability to implement the kind of employee productivity, citizen service improvements and security demanded by federal oversight.

    Download
  • IT Transformation Trends: Flash Storage as a Strategic IT Asset

    MIT Technology Review: Flash Storage As a Strategic IT Asset For the first time in decades, IT leaders now consider all-flash storage as a strategic IT asset. IT has become a new operating model that enables self-service with high performance, density and resiliency. It also offers the self-service agility of the public cloud combined with the security, performance, and cost-effectiveness of a private cloud. Download this MIT Technology Review paper to learn more about how all-flash storage is transforming the data center.

    Download
  • Ongoing Efforts in Veterans Health Care Modernization

    This report discusses the current state of veterans health care

    Download

When you download a report, your information may be shared with the underwriters of that document.