Last Updated on July 28, 2026 by Daniel Globe
The Plaza Hotel has been one of New York City’s best-known luxury hotels since the present building opened at Fifth Avenue and Central Park South in 1907. Designed by Henry Janeway Hardenbergh in a French Renaissance-inspired style, the landmark later became part of Donald Trump’s real estate portfolio. His ownership lasted through a turbulent period of heavy debt, restructuring, and a 1995 deal that transferred control to international investors.
Quick Answer
Donald Trump gave up control of the Plaza Hotel in 1995 in a transaction valuing it at about $325 million. The controlling interest went to a partnership led by Saudi Prince Alwaleed bin Talal and CDL Hotels International of Singapore. Most of the transaction’s value went toward the hotel’s lenders and debt rather than to Trump personally.
Over more than a century, the Plaza has hosted royalty, political figures, celebrities, weddings, galas, and other major social events. It has also appeared throughout popular culture, while the Palm Court remains closely associated with the hotel’s long-running afternoon tea tradition.
Key Takeaways
- Donald Trump acquired the Plaza Hotel in 1988. Published purchase-price figures vary, with commonly cited amounts ranging from about $390 million to $407.5 million.
- The Plaza became heavily indebted, and its operating partnership entered a prearranged Chapter 11 restructuring in 1992.
- The 1992 restructuring gave bank lenders a 49% interest in the hotel and reduced Trump’s control over the property.
- In 1995, Prince Alwaleed bin Talal and CDL Hotels International led a deal valuing the Plaza at approximately $325 million and taking control away from Trump.
- The $325 million figure was not a $325 million cash payment to Trump; contemporary reporting said the money went principally to the hotel’s U.S. and Japanese lenders.
- Trump no longer owns the Plaza. The hotel is now owned by Qatar-based Katara Hospitality and continues to operate as a Fairmont-managed property.
Donald Trump’s Purchase of the Plaza Hotel
Donald Trump acquired the Plaza in 1988 after competing with other bidders for the landmark property. The exact purchase price varies by source. The Trump Organization gives a figure of $407.5 million, while contemporary reports and the Plaza’s own historical timeline have commonly described the price as approximately $390 million.
Trump wanted to upgrade the hotel while preserving its historic character. His then-wife, Ivana Trump, was put in charge of managing and renovating the Plaza. Work included changes to the lobby, guestrooms, bathrooms, ballrooms, restaurants, carpets, and other interior elements.
The acquisition also carried a very large debt burden. That financing would become far more important to the Plaza’s story than the decorative renovations as New York’s real estate market weakened in the early 1990s.
Note: Purchase-price estimates are not uniform. The Trump Organization states $407.5 million, while several contemporaneous and hotel-history sources use about $390 million. Because of that discrepancy, it is safer to describe the purchase as roughly $390–$407.5 million rather than treating one figure as undisputed.
The Financial Troubles of the Plaza Hotel
The Plaza carried substantial acquisition debt, and the hotel’s operating income was not sufficient to comfortably support its financing obligations. By 1992, contemporaneous reports put the property’s debt at approximately $550 million on three mortgages.
The important distinction is that Donald Trump did not personally file for bankruptcy over the Plaza. Plaza Operating Partners Ltd., the entity connected with the hotel, filed a prepackaged Chapter 11 case in November 1992 after an agreement had already been negotiated with lenders.
Under the restructuring, a bank group led by Citibank received a 49% interest in the Plaza in exchange for concessions on the debt. Trump remained associated with the hotel, but his ownership and control were substantially reduced.
By 1992, the Plaza was no longer simply a trophy property controlled by one owner; its lenders had become major stakeholders in its future.
The Sale of the Plaza Hotel in 1995
At a Glance
| Outgoing Controlling Interest | Donald Trump and the lender-controlled ownership structure created after the 1992 restructuring |
| New Controlling Investors | Prince Alwaleed bin Talal and CDL Hotels International of Singapore |
| Transaction Value | Approximately $325 million |
| Year | 1995 |
In 1995, Trump and the Plaza’s lenders agreed to a transaction that transferred control of the hotel to investors led by Prince Alwaleed bin Talal and CDL Hotels International. Contemporary reporting valued the deal at approximately $325 million.
That number needs context. The buyers were largely taking over a heavily leveraged property and its financing structure. Contemporary reporting said none of the transaction proceeds would go directly to Trump; the money instead went principally to U.S. banks that had lent to him and Japanese banks holding a mortgage on the hotel.
The $325 million valuation was roughly $82.5 million below the Trump Organization’s stated $407.5 million acquisition figure, but that difference should not be treated as a simple $82.5 million personal cash loss because the Plaza was heavily financed and its lenders already held substantial interests.
The deal was announced as a joint investment involving CDL Hotels International, part of Singapore’s Hong Leong Group, and an entity controlled by Prince Alwaleed. It effectively ended Trump’s control of the Plaza, although contemporary reporting indicated that he retained limited minority rights rather than disappearing from the property’s economics at the instant the deal was announced.
The Buyers of the Plaza Hotel
Prince Alwaleed bin Talal was already a major international investor with interests in banking, hotels, and other businesses. CDL Hotels International was a Singapore-based hospitality group associated with City Developments Limited and Hong Leong Group.
The acquisition gave the partnership control of one of New York’s most recognizable luxury hotel properties. The new investors planned additional capital spending and improvements intended to strengthen the Plaza’s position in the luxury market.
The deal also marked an important change in the hotel’s ownership history: control passed from Trump’s financially strained structure to an international investment partnership working alongside the Plaza’s remaining lenders.
Why Did Donald Trump Sell the Plaza Hotel?
The central reason was financial pressure. Trump had financed the purchase heavily, the Plaza’s debt had risen far above its operating capacity, and the 1992 restructuring had already transferred a major interest to lenders.
By 1995, selling control allowed the lenders to recover part of what they were owed while moving the hotel into a new capital structure. For Trump, the transaction removed a heavily indebted property from the group of assets he was trying to stabilize following his broader early-1990s financial difficulties.
That is more precise than saying he simply chose to sell an otherwise healthy hotel at a lower price. The Plaza’s creditors were already deeply involved in the property’s ownership and financial decisions before the 1995 deal.
Impact of the Sale on Donald Trump
The transaction ended Trump’s control of one of his most prominent New York trophy properties. Because the Plaza had been closely associated with his public image since 1988, losing control of it also became one of the most visible examples of the financial problems surrounding his highly leveraged real estate holdings in the early 1990s.
It is reasonable to describe the outcome as a financial setback, but the numbers need to be presented carefully. Comparing a reported acquisition price with the later $325 million valuation does not by itself show Trump’s exact personal loss because both transactions involved extensive financing, creditor claims, and changing ownership stakes.
Trump continued pursuing other real estate deals after the Plaza transaction and later expanded his public profile through licensing, branding, and television.
The Legacy of the Plaza Hotel
The Plaza’s significance extends far beyond any single owner. The current building opened in 1907 and became both a New York City landmark and, in 1986, a National Historic Landmark. Its architecture, public rooms, celebrity guests, social events, and appearances in books and films have made the hotel part of New York’s cultural history.
Its best-known fictional connection is Kay Thompson’s Eloise, while films including North by Northwest, Home Alone 2: Lost in New York, and The Great Gatsby have also used the Plaza or its image as part of their New York setting.
Note: The Plaza should not be confused with the location where the United Nations Charter was signed. The United Nations confirms that the Charter was signed in San Francisco in June 1945. The Plaza’s historical importance instead comes from its architecture, hospitality history, diplomatic gatherings, galas, cultural events, and famous guests.
The hotel has hosted state dinners, celebrations, weddings, galas, and gatherings involving political leaders, entertainers, business figures, and royalty. That long history explains why changes in the Plaza’s ownership have repeatedly attracted attention far beyond the hotel industry.
The Plaza Hotel Under New Ownership
Prince Alwaleed and CDL’s group invested in the property following the 1995 transaction, but the Plaza’s later large-scale transformation should not be confused with that initial ownership period.
The property changed hands again in 2004, when El Ad Properties acquired the Plaza. The hotel then closed in 2005 for an extensive redevelopment that converted a significant part of the building to residences while preserving a smaller hotel operation. The roughly $450 million restoration was completed before the Plaza reopened in 2008 under Fairmont management.
That later project restored and modernized major portions of the building while preserving protected architectural features. The Palm Court also continued evolving; its later renovation and relaunch preserved its association with afternoon tea while adding a more contemporary dining program.
Today, visitors can still stay in guest rooms, dine at the property, attend events, or visit spaces used by both tourists and local guests.
Who Owns the Plaza Hotel Now?
Donald Trump does not own the Plaza Hotel today. After several ownership changes following the 1995 transaction, Qatar-based Katara Hospitality acquired the Plaza in 2018.
Katara Hospitality remains associated with the property, while the hotel operates as The Plaza, A Fairmont Managed Hotel. That distinction is useful because the company that owns a hotel and the hospitality brand that manages its day-to-day hotel operation can be different organizations.
As a result, the 1995 buyers are historically important, but they are not the Plaza’s current ownership group.
Donald Trump’s Real Estate Ventures After the Sale
After losing control of the Plaza, Trump remained active in real estate. His later projects included developments and branded properties in New York, Chicago, and other markets.
He also expanded the licensing of the Trump name and entered reality television. The Apprentice, which premiered in 2004, substantially increased his national television profile and connected his public image even more closely with real estate and business.
Those later activities should be viewed as subsequent chapters in his career rather than as a direct result of the Plaza sale; there is not enough evidence to say the 1995 transaction itself caused his later move into television or particular development projects.
The Plaza Hotel’s Continued Significance
More than a century after opening, the Plaza remains one of New York City’s best-known luxury properties. Its location opposite Central Park, landmark architecture, cultural associations, residential units, hotel rooms, restaurants, and event spaces give it a role that goes beyond that of a conventional hotel.
Its ownership has changed repeatedly, but the building’s protected architectural character has helped preserve its identity amid extensive redevelopment in Midtown Manhattan.
The End of an Era for Donald Trump and the Plaza Hotel
The 1995 Plaza deal marked the end of Donald Trump’s control of a property he had once described as a prized acquisition. It followed several years of mounting debt, a Chapter 11 restructuring of the hotel partnership, and growing creditor involvement.
Prince Alwaleed bin Talal and CDL Hotels International became the principal new investors in a transaction valuing the property at about $325 million. The deal was therefore more complicated than a straightforward purchase in which Trump personally received the full sale price.
The Plaza subsequently passed through additional owners, underwent a major redevelopment, and ultimately became part of Katara Hospitality’s portfolio. Its history under Trump remains a notable chapter, but only one part of a story that began decades before his ownership and continues long after it.
Frequently Asked Questions
When did Donald Trump sell the Plaza Hotel?
Trump gave up control of the Plaza Hotel through a 1995 transaction, seven years after acquiring it in 1988.
Who did Donald Trump sell the Plaza Hotel to?
The controlling interest went to an investment partnership led by Saudi Prince Alwaleed bin Talal and CDL Hotels International, a Singapore-based hotel company.
How much was the Plaza Hotel deal worth in 1995?
The 1995 transaction valued the Plaza at approximately $325 million. Contemporary reporting said the money principally went toward the hotel’s lenders rather than being paid to Trump personally.
Why did Trump sell the Plaza Hotel?
The Plaza was carrying heavy debt and had already been restructured with its lenders. By 1995, creditors had substantial influence over the property, and transferring control to new investors helped address its debt and financing problems.
Did Donald Trump personally file bankruptcy over the Plaza Hotel?
No. Plaza Operating Partners Ltd., the business entity connected with the hotel, filed a prepackaged Chapter 11 case in 1992. The restructuring gave lenders a 49% interest in the property.
Does Donald Trump still own the Plaza Hotel?
No. Trump has not controlled the Plaza since 1995. After several later ownership changes, Qatar-based Katara Hospitality acquired the Plaza in 2018.
Who owns the Plaza Hotel now?
The Plaza is owned by Katara Hospitality, a Qatar-based hospitality company. The hotel operates as The Plaza, A Fairmont Managed Hotel.
Sources
- The Trump Organization — Trump’s stated $407.5 million acquisition price and details of renovations during his ownership.
- Deseret News / New York Times News Service (1995) — Contemporary reporting on the $325 million valuation, buyers, lender payments, and Trump relinquishing control.
- Newsweek — Ownership history, the Trump era, and later ownership of the Plaza.
- United Nations — Confirms that the United Nations Charter was signed in San Francisco in June 1945 rather than at the Plaza Hotel.