As of the end of 2023 — halfway through the five-year investment commitment that Saudi Arabia and the other foreign governments made to Mr. Kushner — the firm had invested about $535 million of the $3 billion, with that total rising to about $1.1 billion as of July, according to the committee, citing information provided by Affinity.
Saudi Arabia pays Affinity an annual fee of 1.25 percent of its investment, while the three other known investors pay between 1.25 and 2 percent in fees, though
Affinity Partners would not disclose exactly how much.
This led the committee staff to estimate that through the end of 2024, a total of $157 million in fees will have been paid to Affinity Partners, with $87 million of that from Saudi Arabia. If the total amount is calculated just for three years based on 1.25 percent fee minimum for all investors, that would mean at least $112.5 million in total fees through July and at least $75 million from Saudi Arabia.
A fixed 2 percent management fee, imposed annually from the start of a private equity firm as it is evaluating the market and making its investment, is relatively common in the industry.
Affinity, which as of earlier this year had 33 employees, also expects to get a small cut of profits made on its investments if they are successful.
Mr. Kushner, who is the sole owner, has not disclosed how much he is being paid directly.