NEW YORK (TheStreet) -- Donald Trump explained at a press conference that I attended on Tuesday how he will turn Washington's historic Old Post Office Pavilion into a luxury hotel.

Trump plans to preserve the building's nine-story atrium and transform 3,500 square feet into meeting spaces and 39,000 square feet into ballroom space. The hotel will have 270 guest hotel rooms that average 600 square feet, with 16-foot ceilings, soaring windows, rich oak trim and crystal chandeliers.

Trump has a ground and building lease for the property. He is paying the U.S. government, which owns the property, $250,000 a month to lease it. Construction of the hotel is beginning now and is scheduled to end in 2015.

The cost for Trump's venture in Washington is estimated to be about $200 million. That excludes the long-term ground and building lease and the $100 million of tax revenue that Washington will collect over 10 years.

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The project should create 700 construction positions and 300 permanent jobs.

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This article was written by an independent contributor, separate from TheStreet's regular news coverage.