Kushner, the owner and publisher of the New York Observer and son-in-law of Donald Trump, submitted a bid with a financial structure Major League Baseball declined to approve, according to a person familiar with the sale process but not authorized to discuss it.
Kushner was invited to consider restructuring his bid or joining with another group, the person said. He instead withdrew his bid.
He could reconsider his bid, as could the group led by Los Angeles developer Rick Caruso and former Dodgers Manager Joe Torre. Caruso and Torre withdrew last month, citing the refusal of outgoing owner Frank McCourt to include the parking lots in the sale.
As MLB evaluates the bids, two committees of MLB owners are scheduled to meet with bidders next week. MLB has agreed to approve up to 10 bidders, with McCourt selecting the winning bid by April 1.
Several of the remaining candidates appear in the latest Forbes rankings of the world's billionaires. Steven Cohen, the East Coast investment giant, ranks as the 38th wealthiest American, with an estimated net worth of $8.3 billion.
Stan Kroenke, the St. Louis Rams owner, has an estimated net worth of $3.2 billion, with Memphis Grizzlies owner Michael Heisley at $1.9 billion, Beverly Hills developer Alan Casden at $1.2 billion and Tom Barrack, chairman of Colony Capital in Santa Monica, at $1.1 billion.