A historic office building in downtown Phoenix is set for a new chapter as the city continues to repurpose older commercial properties for hospitality. The Ellis Building, a six-story structure dating to the early 20th century, has been acquired by hotel developer Aperture Hotels, which plans to transform the property into a boutique hotel under Marriott’s Tribute Portfolio brand.
According to reporting by The Arizona Republic, published through the USA Today Network, and property information from real estate database Vizzda and brokerage NewGen Advisory, the building sold for $10.3 million, with the transaction closing on October 6, 2026. The redevelopment follows years of unsuccessful attempts to find a viable new use for the historic property.
A century-old building finds a new purpose
Located at the intersection of Second Avenue and Monroe Street, the Ellis Building contains approximately 61,000 square feet of space.
Constructed in 1922, it originally served as an office building, with two additional floors added in 1928.The property remained associated with city offices for decades before Phoenix sold it to Equus Development Corp. in 2019. Subsequent redevelopment plans sought to adapt the building for modern commercial use, but limited demand for office space and an unfinished residential conversion complicated those efforts.
The latest proposal offers a different route to preserving the structure by giving it a hospitality-focused purpose.
Phoenix approved plans to convert the building into a hotel in May 2026, paving the way for the transaction and the proposed redevelopment.
What the hotel will offer
Aperture Hotels plans to develop the Ellis Building into a Tribute Portfolio property, part of Marriott International’s collection of independent hotels.
The project is expected to include between 95 and 105 guest rooms, alongside a restaurant and bar on the ground floor.The conversion will bring a new hospitality use to a property whose earlier redevelopment plans did not come to fruition. Rather than continuing as traditional office space, the building is expected to become part of downtown Phoenix’s accommodation market, serving visitors seeking a centrally located stay.The Tribute Portfolio designation is significant because the brand focuses on individual properties with distinct identities, allowing historic buildings to retain some of their character while operating within Marriott’s broader hospitality network. The project’s final room count and other operational details may be refined as redevelopment progresses.
A wider shift in downtown Phoenix
The Ellis Building is not the only historic downtown office property moving towards hotel use.
Phoenix approved a development agreement in August 2026 for the preservation and conversion of the Security Building and Annex Building, another major adaptive-reuse project. Developed by Phoenix-based CivicGroup, the proposed $135 million redevelopment is expected to create a full-service hotel with 255 guest rooms, a 5,500-square-foot ballroom, 13,000 square feet of meeting space, and restaurant and bar facilities.The Security Building was constructed in 1928, while the Annex Building dates to 1961. The Security Building was added to the Phoenix Historic Property Register in 1987. Both properties have been used as offices for Maricopa County, which is consolidating operations and relocating functions to other county-owned sites. Together, the two projects illustrate how older commercial buildings can be considered for new uses as downtown property owners and developers respond to changing demand for office space and hospitality accommodation.
Preserving the past while adapting to new demand
The Ellis Building’s planned transformation reflects a broader challenge facing historic urban districts: finding economically viable uses for ageing buildings without losing their architectural and historical significance. Converting an existing structure into a hotel can offer an alternative to leaving a property underused, particularly when previous office or residential plans have stalled. However, the success of such projects depends on the practicalities of adapting older buildings to modern hotel requirements, including guest facilities, circulation and building systems.For Phoenix, the Ellis Building’s sale marks a step towards bringing a long-standing downtown property back into active use. If the redevelopment proceeds as planned, the former office tower will join a growing group of historic buildings being reimagined for visitors, adding another hospitality destination to the city’s urban core.