NEW YORK (BLOOMBERG) -- The Trump administration plans to buy a warehouse linked to billionaire investor Carl Icahn for Immigration and Customs Enforcement operations, stirring opposition in a small town in the Hudson Valley.
The Department of Homeland Security said in January that ICE is pursuing the purchase of a warehouse in Chester, New York, about 60 miles northwest of Manhattan. The location was acquired by a subsidiary of Icahn Enterprises LP, according to property records showing a sale date of Dec. 29, 2021.
Icahn said in a telephone interview he first learned of the transaction through a local newspaper article earlier this month, declining to comment further. The property currently has a market value of about $25 million, according to Orange County records.
DHS didn’t say how it would utilize the site but a description on its website suggested a potential use as a detention center. The agency said in a public notice that the project would include a small guard building, upgraded security fencing and an outdoor recreation area. It’s located about 15 miles from the nearest airport.
The proposed purchase has drawn pushback from residents and elected officials in Chester, a town of about 13,000 people. Hundreds of people protested the plan earlier this month at a town event, and Orange County Executive Steve Neuhaus, a Republican, said he strongly opposed converting the warehouse into an ICE facility.
“The last thing Orange County residents want to see here is what is unfolding right now in Minneapolis,” Neuhaus said in an emailed response to questions.
He said the site would be better suited for economic development such as light manufacturing or a film studio, and warned that an ICE site would strain local emergency services and first responders.
Local news outlets including the Monroe Gazette reported earlier on the plans and the Icahn connection.
Detention Centers
Immigration detention centers have become flash points for protests and clashes between demonstrators and federal agents in recent months, particularly in Democratic-led cities including Chicago and Portland, where stepped-up enforcement has drawn opposition.
Tensions intensified further this month in Minneapolis after an ICE agent fatally shot US citizen Renee Good, leading the Trump administration to increase the number of federal officers on the ground and prompting Minnesota Governor Tim Walz, a Democrat, to put the National Guard on standby.
DHS is engaged in a broader effort to expand immigration detention capacity, potentially converting as many as two dozen warehouses into “mega centers” that could house thousands of people in each.
The push follows congressional approval of $45 billion for expanded enforcement and detention, as ICE looks for alternatives to tent facilities that have drawn scrutiny over conditions, oversight and delays in construction.
The warehouse eyed by ICE is located at 29 Elizabeth Drive in Chester. The property is owned by IEP Chester LLC, which is listed as an Icahn Enterprises subsidiary in regulatory filings.
Icahn served briefly as an unpaid special adviser to Trump on regulatory reform during the president’s first term. Icahn stepped down in 2017 after several months, following questions from Democratic lawmakers about potential conflicts of interest with his business dealings, which he denied.
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