The Trump Organization is in active discussions to establish a Trump-branded property within one of Saudi Arabia's most ambitious government-led real estate ventures. The potential deal involves the $63 billion Diriyah development, a luxury destination project central to the kingdom's economic transformation plans.
These negotiations highlight a growing number of business activities for the Trump family in the Persian Gulf, raising questions about the intersection of international diplomacy and private enterprise. The talks come as President Trump prepares to host Saudi Crown Prince Mohammed bin Salman for a state visit in Washington next week.
Key Takeaways
- The Trump Organization is negotiating a potential deal for a branded hotel, residential units, or mixed-use facility in Saudi Arabia's Diriyah giga-project.
- Jerry Inzerillo, CEO of the Diriyah development, confirmed the talks, stating a deal is "just a matter of time."
- This follows a pattern of recent Trump-branded projects across the Gulf, including in Dubai, Oman, and other Saudi cities, facilitated by partner firm Dar Global.
- The discussions coincide with high-level diplomatic engagements, including an upcoming visit to Washington by Crown Prince Mohammed bin Salman.
Negotiations for a Landmark Project
Discussions are underway that could see the Trump brand integrated into the massive Diriyah project, a sprawling development designed to transform a historic town into a global hub for luxury tourism, retail, and residences. The project is a cornerstone of Saudi Arabia's Vision 2030 plan, overseen directly by Crown Prince Mohammed bin Salman.
Jerry Inzerillo, the chief executive of the company managing the development, confirmed the nature of the talks. While no formal announcement has been made, he indicated a partnership is likely.
"Nothing announced yet, but soon to be," Mr. Inzerillo said in a recent interview, adding that it was "just a matter of time" before an agreement with the Trump Organization is finalized.
The groundwork for this potential venture was laid during President Trump's state visit to Riyadh in May. According to Mr. Inzerillo, Saudi officials made a concerted effort to showcase the project's scale and ambition to appeal to the president's background as a real estate developer.
"It turned out to be a good stroke of luck and maybe a little bit clever of us to say, ‘OK, let’s appeal to him as a developer’ — and he loved it," Inzerillo explained. The visit included a tour of the Diriyah site and a display of architectural models during the state dinner.
What is the Diriyah Giga-Project?
Diriyah is one of several "giga-projects" funded by Saudi Arabia's sovereign wealth fund. The $63 billion plan aims to develop over five square miles of land around the ancestral home of the Saudi royal family. The completed project is expected to feature 40 hotels, luxury retail spaces, offices, and branded residential units. Despite the ambitious scale of other giga-projects, Diriyah is reportedly advancing rapidly, with $4 billion in residential units already sold.
A Deepening Gulf Presence
The potential Diriyah deal is not an isolated event but part of a broader expansion of the Trump brand across the Middle East. The family business has ramped up its international activities since the end of President Trump's first term, when a self-imposed pledge to halt new foreign deals expired.
Several major projects are already in motion:
- A Trump tower is planned for the Saudi city of Jeddah.
- Two additional projects have been announced in the capital, Riyadh.
- A Trump hotel and tower project is moving forward in Dubai, UAE.
- A golf course and hotel are under construction in Oman, backed by the Omani government.
These ventures primarily involve licensing agreements, where the Trump Organization is paid substantial fees for the use of its name without necessarily investing its own capital. According to financial disclosures, the Trump Organization's key partner, Dar Global, paid $21.9 million in such fees last year alone.
The primary driver behind these deals is Dar Global, a subsidiary of the prominent Saudi development firm Dar Al Arkan. The company's CEO, Ziad El Chaar, has publicly signaled further expansion. Last month, he told a Middle East news outlet, "You will see us announcing more collaborations with the giga-projects," referring to Saudi Arabia's large-scale developments.
Diplomacy and Deal-Making Intertwined
The timing of these business negotiations has drawn attention due to their overlap with official state functions. The upcoming meeting between President Trump and Crown Prince Mohammed bin Salman in Washington will cover sensitive national security topics, including a potential mutual defense agreement and the transfer of American nuclear technology to Saudi Arabia.
This creates a situation where the U.S. president is conducting high-stakes diplomacy with a foreign leader who is also the chairman of a sovereign wealth fund potentially entering a lucrative business deal with his family's company.
This blend of statecraft and commerce has become more pronounced. For instance, the Saudi-backed LIV Golf league has held tournaments at Trump-owned properties, including the Trump National Doral Golf Club near Miami. Additionally, Saudi Arabia's sovereign wealth fund invested $2 billion in an investment fund managed by Jared Kushner, the president's son-in-law and former adviser, after he left the White House.
Members of the Trump family have also been active in promoting business in the region. Eric Trump has described the Gulf as "every developer’s biggest playground." Donald Trump Jr., speaking at an investment forum in Riyadh last month, remarked on the opportunities in the region.
"My whole life I was a real estate guy, I did deals all over the world," Donald Trump Jr. said. "In my world, it’s hard to not bring everything back to real estate."
As the Trump Organization continues to pursue these opportunities, the line between private business interests and public service remains a central point of discussion in Washington and foreign capitals alike.
