Article originally posted on CoStar on Oct 25 2026

Equus Group sold the Ellis Building, a six-story office building at 135 N. 2nd Ave. in downtown Phoenix, for $10.3 million, or $161.76 per square foot, to Aperture Hotels, which intends to redevelop the property into a hospitality destination.

Plans call for preserving the building’s architectural character while repositioning it to serve growing visitor demand generated by such nearby attractions as the Phoenix Convention Center, Chase Field and Arizona State University’s downtown campus.

Constructed in the early 20th century, the property has served a variety of uses throughout its history, including office space for the City of Phoenix. The building underwent multiple expansions and renovations over the decades and has more recently attracted interest as a candidate for adaptive reuse because of its historic architecture and central location.

Buildings with distinctive architecture and strong urban locations have become increasingly attractive to hospitality investors seeking projects that can offer a differentiated guest experience without the costs and timelines associated with ground-up development.

Aperture Hotels manages premium lifestyle, select-service and extended-stay hotels, with a portfolio of branded and independent properties across the United States.