The Dayton Grand Hotel, located at Third and Ludlow streets, closed in 2016 as it underwent what at the time were thought would be renovations, an acting general manager told the Dayton Daily News then.
The hotel is across Ludlow from the Dayton Arcade, which is in the midst of a multi-year redevelopment.
Chris Riegel, chief executive and founder of Dayton digital technology creator Stratacache, watched the auction but did not participate.
The building was first listed at $2 million, then fell to $1.5 million, Riegel said.
“The nuclear winter of commercial real estate is here,” he said. “It’s a buyer’s market like you wouldn’t believe.”
The 184-room hotel, which had been owned by investment equity firm Hotel Capital in Indianapolis, was expected to be closed until at least May 2017 as it underwent renovation.
Ten-X listed the former 12-story hotel as having 184 guest rooms, a restaurant and lounge, an indoor pool, a fitness center, a business center and 5,925 square feet of meeting and event space.
“The property presents investors with the opportunity to acquire a well-located, highly visible, full-service vacant hotel fully unencumbered by brand and management,” Ten-X said. “A new owner has complete flexibility in terms of renovating and rebranding with a new hotel franchise, or considering alternative uses for the building such as multi-family.”
Recent years have not been kind to this hotel. In 2015, hotel officials announced they were undergoing $3 million to $5 million in renovations, with plans to rebuild the pool, re-open its restaurant and convert to a Double Tree by Hilton.
The hotel did not rebrand, however, and struggled.
The Dayton Grand Hotel originally became a Double Tree hotel in 2013. That shift was short-lived, with the owners returning it to a private hotel, and the business suffered, Eric Minshall, the general manager in 2015, told the Dayton Daily News at the time.
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