GSA Confirms CGI as Qualified Transferee in Old Post Office Lease
CGI and Hilton Worldwide Holdings, Inc. to convert the Old Post Office into Waldorf Astoria
WASHINGTON - Today, the U.S. General Services Administration announced its confirmation that CGI Hospitality Opportunity Fund I, LP is a qualified transferee under the lease of the Old Post Office after an extensive internal and third-party review. CGI and Hilton Worldwide Holdings, Inc. plan to convert the Old Post Office into a Waldorf Astoria luxury hotel. After transfer of the contract, CGI will assume responsibility for the terms and conditions of the lease.
GSA based this decision on the strength of the partnership between CGI and Hilton and the parties’ commitment to ensuring the success of the future hotel, upon the closing of the transaction, through: (1) executing a long-term property management agreement; (2) providing significant equity; and (3) providing material credit support to assist with securing debt financing.
The confirmation was based on an extensive and exhaustive due diligence review of the documentation provided in support of the proposed assignment. The documentation included, among other things, financial information and details regarding their respective expertise and experience with financing real estate acquisitions and operating hotels.
The Statement of Assignment may be found in the Electronic Reading Room.
About GSA: GSA provides centralized procurement for the federal government, managing a nationwide real estate portfolio of more than 370 million rentable square feet and overseeing approximately $75 billion in annual contracts. GSA’s mission is to deliver value and savings in real estate, acquisition, technology, and other mission-support services across government, in support of the Biden-Harris Administration’s priorities. For more information, visit GSA.gov and follow us at @USGSA.