Want to buy a Hyatt hotel? Wichita might be looking to sell one

For sale: 303 bedrooms, river view, pool, 500-car attached garage. Inquire at Wichita City Hall. Serious buyers only.

That real estate ad could be coming soon.

On Tuesday, the City Council will consider putting the city-owned downtown Hyatt Regency on the market.

The city government has owned the hotel since 2001. Then, the council agreed to buy it to ensure that the original owner, who wasn’t meeting his profit goals, didn’t sell it to somebody who would reflag it downward from the prestigious Hyatt name.

Now, the time has come to test the waters on selling the hotel, said Scot Rigby, assistant city manager for development services.

Rigby said there’s a lot of activity going on with downtown real estate, such as the ongoing development of the Union Station project and several other commercial and apartment buildings.

“Interest in downtown and in the city overall is high,” Rigby said. “The timing’s right to at least explore (selling the Hyatt).”

If the council agrees, the city will issue a request for proposals seeking a buyer. The request could go out in about two weeks, but it would likely take until late summer to consider the offers and select a buyer, Rigby said.

No matter who buys the Hyatt, it will remain a Hyatt for the foreseeable future.

The hotel is currently operated by Hyatt under a management agreement with the city that runs through 2026.

Rigby said that agreement will stay with the property, even with an ownership change.

He said that’s important because the Hyatt name occupies a significant gateway to downtown. “For a city of this size, it’s pretty significant having a hotel of that quality,” he said.

Rigby won’t say how much he thinks the hotel could go for, because he doesn’t want to tip the city’s hand in negotiations.

Fifteen years ago, the city paid about $18.3 million to buy the hotel. That was in addition to $10.6 million in city development subsidies that helped get the hotel built.

The council meets at 9 a.m. Tuesday at City Hall, 455 N. Main, Wichita.

This story was originally published April 18, 2016 at 7:29 PM.