Trump Organization to launch 'American Idea' hotel chain

Xavier Trudeau
Juin 6, 2017

The Trump Organization announced plans Monday to open a line of wallet-friendly hotels called American Idea.

Donald Trump Jr. said Monday the new chain will start with three hotels in Mississippi.

Danziger also said Monday that the first property in Trump Hotels' new Scion chain is being built in Cleveland, Mississippi.

Scion is a four-star hotel chain meant to offer upscale service in US cities that could not support a full-fledged Trump luxury property.

The Trump Organization is now under the leadership of President Trump's eldest sons, Don Jr. and Eric, but the President's lasting financial ties continue to raise ethics questions about potential conflicts of interest. It is "American Idea", not "American Ideas". The hotels are owned by Chawla Hotels Inc, which will license the American Idea name from Trump Hotels.

Danziger said the Trump name won't appear anywhere on the hotels. The Scion, which is under construction, is a $20 million project financed by $5 million from Guaranty Bank, Dinesh Chawla said.

Chawla Hotels was founded by the late V.K. Chawla, who was described as a war refugee from India.

"I said, 'That's brilliant, '" Eric Danziger, who runs the Trump Organization's hotels division, told the Times. "I do believe in legal immigration". Chawla said he has stayed in Trump hotels, was impressed by their service and thought that teaming up would help his company's expansion efforts. He said the renovation could take up to eight months. "I'm not surprised that the Trump family would look to opportunities to commercially exploit his political success". They say their investments could work just like a campaign contributions, but without any limits on spending and disclosure requirements. It will become the nation's first Scion hotel under a deal signed with Eric Danziger, chief executive of Trump Hotels. He threw out the idea of using things from towns to give hotels a local feel, like a vintage firetruck. "The reality is we should have something in those kinds of locations".

"Eric and I got a great crash course in America over the last two years", Donald Trump Jr. said to the crowd of about 500.

All of the hotels will be lower priced than the luxury brand Trump minted with his name before running for president, offering rates that working class voters in MS and elsewhere can more easily afford.

The first three American Idea hotels will be aimed at business travelers and blues-music tourists, Chawla said.

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