Kimpton Hotel sells at a loss to Brown Palace owner

The Texas firm that has owned the Brown Palace Hotel since 2018 has purchased another downtown hotel.

Fort Worth, Texas-based Crescent Real Estate bought the Kimpton Hotel Monaco Denver at 1717 Champa St. on Wednesday.

The firm, which did not respond to a request for comment, paid $50.79 million, according to public records.

That’s significantly less than what the building fetched the last time it sold. Inland American Real Estate Trust paid $75 million for it in October 2013, records show. 

Inland later spun off its hotel holdings, including the downtown Kimpton, into a separate company, Orlando-based Xenia Hotels & Resorts. A Xenia executive signed the sale paperwork this week.

The latest sale represents a 32% drop in the property’s value and works out to $268,730 for each of the hotel’s 189 rooms. That doesn’t account for the building’s retail space, where the Italian restaurant Panzano operates.

As of Thursday afternoon, rooms started at about $200 a night this coming weekend, and $180 for a night in the middle of next week, according to the hotel’s website.

Crescent paid $125 million in 2018 for the Brown Palace and the connected Holiday Inn Express Denver Downtown.

The firm’s local holdings aren’t limited to hotels. The company developed the Platte Fifteen office building at 2373 15th St. and owns the nearby Riverpoint office building at 2300 15th St., as well as an apartment building in the Denver Tech Center. In August, Crescent also paid $83 million for a Cherry Creek office building and nearby retail space.Xenia Hotels, meanwhile, still owns the downtown Ritz-Carlton hotel, which it bought for $100 million in 2018.

Source: BizWest