Jared Kushner’s family is on the verge of striking a property investment deal with Chinese company Anbang Insurance Group that will yield them a handsome $400 million.
Bloomberg reports that Anbang plans to strike a $4 billion deal to invest in Kushner Companies’ office tower that’s located at 666 5th Avenue in Manhattan. The terms of the deal include “terms that some real estate experts consider unusually favorable for the Kushners,” Bloomberg notes, including “both a sizable cash payout… for a property that has struggled financially and an equity stake in a new partnership.”
The deal values the Kushners’ Manhattan building at $2.85 billion, which Bloomberg points out is the highest value ever for a single Manhattan building.
What’s even more intriguing, however, is a portion of the deal that pays off a vast portion of $250 million in debt that the Kushner Companies incurred the last time they refinanced their debt. Under the terms of the deal, the Kushners will be able to retire the debt by paying off just $50 million — or 20% — of what they owe.
While Jared Kushner — a top White House adviser who is also the son-in-law of President Donald Trump — has vowed that he won’t use his power as a top White House adviser to influence any legal matters surrounding the investment, some critics say the deal at the very least raises suspicions about a foreign company trying to buy influence with a key member of the Trump administration.
“At the very least, this raises serious questions about the appearance of a conflict that arises from the possibility that the Kushners are getting a sweetheart deal,” Larry Noble, general counsel at the Campaign Legal Center, tells Bloomberg. “A classic way you influence people is by financially helping their family.”