Jared Kushner has given personal guarantees on $300 million in loans per Wall St. Journal analysis. Deutsche Bank is among parties to which Kushner has provided personal guarantee. The Soros family gave Kushner’s 2014 startup Cadre a $250 million credit line-Dow Jones Newswires, May 3, 2017

Kushner has personally guaranteed $300 million in loans. Deutsche Bank and Royal Bank of Scotland are among entities to which he has given personal guarantees. “Mr. Kushner will recuse himself from matters to which Deutsche Bank or RBS are parties because he has provided personal guarantees on their loans, said a person familiar with his ethics arrangement.” 

May 3, 2017, “Kushner’s Partners Include Goldman And Soros–WSJ,” Dow Jones Newswires, by Jean Eaglesham, Juliet Chung, Lisa Schwartz

“Investments show ties to Goldman Sachs and George Soros, as well as a number of loans.”

“Jared Kushner, the president’s son-in-law and senior adviser, is currently in business with Goldman Sachs Group Inc. and billionaires George Soros and Peter Thiel, according to people familiar with the matter and securities filings.

The previously undisclosed business relationships with titans of the financial and technology worlds are through a real-estate tech startup called Cadre that Mr. Kushner cofounded and currently partly owns.

Goldman and Messrs. Soros and Thiel, as well as other billionaires’ firms, also have stakes in the company, which is based in a Manhattan building owned by the Kushner family’s company, according to people close to Cadre.

The Cadre stake is one of many interests–and ties to large financial institutions–that Mr. Kushner didn’t identify on his government financial-disclosure form, according to a Wall Street Journal review of securities and other filings. Others include loans totaling at least $1 billion, from more than 20 lenders, to properties and companies part-owned by Mr. Kushner, the Journal found. He has also provided personal guarantees on more than $300 million of the debt, according to the analysis.

In his disclosure form filed earlier this year, Mr. Kushner didn’t identify Cadre as among his hundreds of assets. The Journal identified his Cadre stake through a review of securities and other filings as well as interviews with people familiar with the company and Mr. Kushner’s finances….

Mr. Kushner co-founded Cadre in 2014 with his brother, Joshua Kushner, and Ryan Williams, a 29-year-old friend and former employee of Kushner Cos., the family-controlled business that Mr. Kushner ran until recently. Cadre markets properties to prospective investors, who can put their money into specific buildings or into an investment fund run by Cadre, which collects fees on each deal.

To get off the ground, Cadre turned to a Goldman Sachs fund and a number of high-profile investors. Among them were the venture-capital firms of Mr. Thiel, Silicon Valley’s most prominent supporter of the GOP president, and Vinod Khosla, a co-founder of Sun Microsystems Inc., according to Cadre’s website. Personal backers include Chinese entrepreneur David Yu, co-founder with Alibaba Group Holding Ltd.’s Jack Ma of a Shanghai-based private-equity firm, hedge-fund manager Daniel Och and real-estate magnate Barry Sternlicht, people close to Cadre said.

Cadre also secured a $250 million line of credit from the family office of Mr. Soros, a top Democratic donor who Mr. Trump criticized during his presidential campaign, the people close to the company said. Mr. Soros’s family office is also an investor in Cadre.

The investors declined or didn’t respond to requests for public comment on their backing of Cadre, but a person familiar with Mr. Soros’s family office said it had invested in early 2015 before Mr. Trump declared his presidential candidacy. 

Cadre has solicited money from investors for several Kushner Cos. real-estate projects, according to information sent to prospective investors and reviewed by the Journal. Jared Kushner personally has stakes in some of the real-estate projects for which Cadre has raised money, according to Cadre documents and his disclosure form.

While Mr. Williams acts as the public face of Cadre, Mr. Kushner remains one of the owners, with the power to “influence the [firm’s] management or policies,“ according to the latest public information on file with the Financial Industry Regulatory Authority. Mr. Kushner’s company JCK Cadre LLC is shown as owning 25% to 50% of Quadro Partners Inc., which owns at least 75% of RealCadre LLC, which does business as Cadre. Mr. Kushner has reduced his ownership stake to less than 25%, his lawyer Ms. Gorelick said.

Mr. Williams, chief executive of Cadre, said the company has been working with regulators to update its public filings to “reflect Jared’s nonoperational, nonmanagement relationship with the company, which has been in place since the inauguration.”

BFPS Ventures, the company that Mr. Kushner’s lawyer said holds his Cadre stake, is shown on his financial-disclosure form as owning unspecified New York real estate valued at more than $50 million. The form adds that “the conflicting assets of this interest have been divested.”

Beyond Cadre, some of the assets Mr. Kushner is holding on to are hard to pinpoint, partly because they are housed in entities with generic names such as “KC Dumbo Office,” according to the disclosure form.

The Journal matched many of the assets to specific real-estate investments. An analysis of the debts on those properties, using real-estate data services PropertyShark and Trepp LLC as well as property records, found ties to a broad swath of U.S. and foreign banks, private-equity firms, real-estate companies and government-owned lenders.

Lenders to Mr. Kushner, either directly or via properties he co-owns, include Bank of America Corp., Blackstone Group LP, Citigroup Inc., UBS Group AG, Deutsche Bank AG and Royal Bank of Scotland Group PLC. Royal Bank of Scotland didn’t respond to requests for comment; representatives of the other firms declined to comment.

Mr. Kushner will recuse himself from matters to which Deutsche Bank or RBS are parties because he has provided personal guarantees on their loans, said a person familiar with his ethics arrangement.”




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