Trump Organization Plans Expansion in Riyadh

By Pesha Magid

RIYADH (Reuters) – The Trump Organization is set to build a Trump Tower in Riyadh, Saudi Arabia, as part of a broader real estate expansion in the Gulf region, including Abu Dhabi, according to Eric Trump, the U.S. president-elect's son.

In an interview with Reuters, Eric Trump outlined two new projects in Riyadh in partnership with Dubai-based luxury developer Dar Global, though he didn't disclose specific details. He confirmed that one of the projects will be a tower and mentioned plans for further collaboration with Dar Global that includes a new development in Abu Dhabi, expected within the next year.

This development comes shortly after a previously announced glittering gold Trump Tower in Jeddah, a Saudi coastal city. Ziad El Chaar, chief executive of Dar Global, indicated that the other planned project in Riyadh is a Trump Golf community, akin to one launched in Oman in 2022.

El Chaar remarked that they aim to construct one tower and one golf community. Dar Global, which is the international arm of Saudi Arabia's Dar Al Arkan Real Estate Development Company, has several agreements with The Trump Organization, including plans for Trump towers in Jeddah and Dubai along with the Oman project. The exact value of these projects was not disclosed, but El Chaar compared their worth to the $530 million Trump Tower in Jeddah and the $2.66 billion Trump Golf community in Oman.

During his first term, Donald Trump built strong relationships with Gulf states, including Saudi Arabia, which invested $2 billion in a firm belonging to Jared Kushner, his son-in-law and former aide, established post-presidency. After leaving office in 2021, other Trump allies also maintained close business ties in the Gulf.

Upon taking office in 2017, Donald Trump retained ownership of the Trump Organization but appointed his sons Eric and Donald Jr. to manage it, diverging from U.S. precedents of divesting or using a blind trust. This raised conflict of interest concerns, with Democratic congressional investigators later revealing that entities connected to the president received at least $7.8 million in foreign payments from 20 countries during his presidency.

Responding to questions on potential conflicts of interest, Eric Trump stated, "I have no interaction with Washington, D.C. I want no interaction with Washington, D.C.," asserting that they would follow the same practices as during his father's first term. He expressed confidence in navigating potential issues smartly, similar to 2016.

His father's position means The Trump Organization will stay away from businesses in countries involved in active conflicts, including Russia, Ukraine, and Israel, or where heavy tariffs may be applied, such as China. Eric Trump mentioned, "We could have done two of the biggest buildings in Israel… but obviously October 7 came around, and you couldn't do it. You have to be sensitive to what's happening."

($1 = 3.7573 riyals)