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GSA Sells D.C. Old Post Office to Leaseholder BDT & MSD Partners

Fee ownership was transferred to the leaseholder under binding covenants preserving public access to the clock tower, public ownership of on-site art, and protections for the building's architecture.

An image collage containing 3 images, Image 1 shows GSA said total taxpayer revenues from the property over the last decade, including the current sale, are expected to exceed $110 million, Image 2 shows The federal government has sold Washington, DC‘s landmark Old Post Office Building — currently operating as the Waldorf Astoria — to merchant bank BDT & MSD Partners for $80 million as part of the Trump administration’s broader push to offload federally owned real estate, Image 3 shows BDT & MSD is now moving quickly to flip the asset — several prospective buyers have expressed interest, with discussions centering on a valuation of around $400 million
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FILE - The Waldorf Astoria, formerly the Trump International Hotel, in the Old Post Office building, Aug. 18, 2022, in Washington. (AP Photo/Andrew Harnik, File)

Overview

  • The General Services Administration announced on Wednesday that it sold 1100 Pennsylvania Ave. NW to BDT & MSD Partners, the company that already controls the hotel's long-term lease.
  • The agency declined to disclose the sale price, though The Wall Street Journal and other reports cited an $80 million figure that the GSA did not confirm.
  • The sale preserves current hotel operations under Hilton’s Waldorf Astoria management and keeps restaurants and hotel staff in place during ownership change.
  • GSA attached a preservation covenant to guarantee public access to the clock tower and a fine-arts covenant to keep works such as Robert Irwin’s 48 Shadow Planes in public hands.
  • Reporters say BDT & MSD is in early talks to resell the property at a much higher valuation, and GSA said taxpayer revenues tied to the site over the last decade, including this sale, are expected to top $110 million.