The owners of Trump International Hotel in Panama have voted to end their branding and management deal with the Trump Organization.
According to The Associated Press, the 70-story hotel will no longer bear President Donald Trump’s name and his family’s hotel management business will no longer handle operations at the Panama City building. This ends a relationship with Trump that the hotel paid at least $32 million to enter into.
The 369-room hotel had struggled with occupancy issues under the Trump brand and the decision marks the latest setback for the Trump Organization, which was essentially paid by owners to remove its branding from the Trump Soho Hotel in New York as the property failed to attract significant business. Trump’s properties in Scotland, Los Angeles and elsewhere in New York City are also struggling financially, reports show.
The Trump Organization told AP that it believed the decision violated the hotel’s contract with the company. But this isn’t the first time that the owners of the condominium hotel have tried to dump the Trump Organization. In 2015, unit owners complained about the Trump Organization’s oversight and fired Trump’s manager there from the board of directors — though after Trump sought millions in damages, the owners settled and reinstated the manager in the hotel part of the building.
In promotional materials from 2007, Trump claimed he was a developer on the project, but AP found he had only licensed out his brand. The project, which was Trump’s first major international brand licensing effort, was revealed to have had ties to organized crime earlier this month
“I bought there because I thought Trump’s name made it a safe investment,” said a retired Nevada doctor who owns a penthouse unit in the Panama City building. “But Latinos are a real problem for him in Panama.”