• Aladdin Hotel Downtown Kansas City, MO For Sale   

CBRE Hotels;

CBRE Hotels presents the opportunity to acquire the fee-simple interest in the 193-room Aladdin Hotel. This sixteen-story historic building, constructed in 1925, brought innovation to the downtown lodging market in the early twentieth century. The property was once the tallest building in downtown Kansas City and included a closed-in roof garden, as well as many ground-level retail shops.

While downtown Kansas City has evolved with several new high-rise developments, the Aladdin still commands an unmatched location and is one of only three hotels physically connected to the Convention Center via an underground walkway. Kansas City is going through a revitalization that has led to over $10 billion in capital investment. This influx of capital has created a surge in economic development that continues to generate business and residential growth throughout downtown. The Aladdin's location connects the southwest side of downtown to the Power & Light District, which allows the property to capture both corporate and leisure travelers. Offered unencumbered of brand and management along with several lucrative incentives including tax credits, the Aladdin is a true blank canvas, which offers a new investor the opportunity to renovate and fully reposition the asset into an upscale boutique property.

Investment Highlights

Key Highlights

  • The hotel benefits greatly from its dominant location directly across from the convention center along Wyandotte Street.
  • The property is being offered at an attractive acquisition price, which when coupled with the anticipated renovation cost, will allow a new owner to have an “all-in” basis significantly below replacement cost.
  • The anticipated competitive set achieved a RevPAR of $111 in 2022, which represented nearly a four percent increase over 2019. While this performance is impressive, the competitive set is anticipated to drive RevPAR levels even higher in 2023 as downtown market occupancy grows and corporate / group demand fully stabilizes.
  • As an independent property, the Aladdin is an ideal candidate for an upscale boutique conversion opportunity. Tapestry by Hilton and Marriott Tribute among other brands are potential options for the property. The Marriott Tribute PIP is available in the data room. ​​​​​​​
  • Buyers looking to acquire the Aladdin will have the opportunity to assume the lucrative in-place TIF (expires at the end of 2029) and are expected to be able to secure both Federal Tax Credits and Pace Financing, which will help drive overall investment returns on the project.​
  • Given its dominant downtown location clustered amongst several retail and residential developments, the property is an ideal candidate for potential conversion to an alternative use such as multi-family, among other options.

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