U.S. Department of Justice
Attorney Work Product // May Contain Material Protected Under Fed. R. Crim. P. 6(e)
enter into a mutually acceptable agreement" related to the Trump-branded project in Moscow.[1] The LOI contemplated a development with residential, hotel, commercial, and office components, and called for "[a]pproximately 250 first class, luxury residential condominiums," as well as "[o]ne first class, luxury hotel consisting of approximately 15 floors and containing not fewer than 150 hotel rooms."[2] For the residential and commercial portions of the project, the Trump Organization would receive between 1% and 5% of all condominium sales,[3] plus 3% of all rental and other revenue.[4] For the project's hotel portion, the Trump Organization would receive a base fee of 3% of gross operating revenues for the first five years and 4% thereafter, plus a separate incentive fee of 20% of operating profit.[5] Under the LOI, the Trump Organization also would receive a $4 million "up-front fee" prior to groundbreaking.[6] Under these terms, the Trump Organization stood to carn substantial sums over the lifetime of the project, without assuming significant liabilities or financing commitments.[7]
On November 3, 2015, the day after the Trump Organization transmitted the LOI, Sater emailed Cohen suggesting that the Trump Moscow project could be used to increase candidate Trump's chances at being elected, writing:
- Buddy our boy can become President of the USA and we can engineer it. I will get all of Putins team to buy in on this, I will manage this process. . . . Michael, Putin gets on stage with Donald for a ribbon cutting for Trump Moscow, and Donald owns the republican nomination. And possibly beats Hillary and our boy is in. . . . We will manage this process better than anyone. You and | will get Donald and Vladimir on a stage together very shortly. That the game changer.[8]
Later that day, Sater followed up:
- Donald doesn't stare down, he negotiates and understands the economic issues and Putin only want to deal with a pragmatic leader, and a successful business man is a good candidate for someone who knows how to negotiate. "Business, politics, whatever it all is the same for someone who knows how to deal"
- ↑ 11/2/15 Email, Cohen to Rozov et al. (attachment) (hereinafter "LOI"); see also 10/13/15 Email, Sater to Cohen & Davis (attaching proposed letter of intent).
- ↑ LOI, p. 2.
- ↑ The LOI called for the Trump Organization to receive 5% of all gross sales up to $100 million; 4% of all gross sales from $100 million to $250 million; 3% of all gross sales from $250 million to $500 million; 2% of all gross sales from $500 million to $1 billion; and 1% of all gross sales over $1 billion. LOI, Schedule 2.
- ↑ LOI, Schedule 2.
- ↑ LOI, Schedule 1.
- ↑ LOI, Schedule 2.
- ↑ Cohen 9/12/18 302, at 3.
- ↑ 11/3/15 Email, Sater to Cohen (12:14 p.m.).
71
