Portman Closes on $540M Financing Package for Cincinnati Hotel

Portman Holdings is moving forward with construction of the 700-key Cincinnati Downtown Marriott after closing on a $540 million financing package to build the hotel.

The project will take shape next to the newly renovated First Financial Center convention center in downtown Cincinnati. An official groundbreaking ceremony is scheduled for July 21, and the full-service hotel is expected to open in late 2028.

The developer is building the 21-story hotel through a public-private partnership with the City of Cincinnati, Hamilton County, the State of Ohio, Cincinnati Center City Development Corp., The Port of Greater Cincinnati and Visit Cincy. The hotel will serve as the anchor of the $828 million redevelopment of the city’s Convention Center District.

---

READ ALSO: CRE’s Continued Tale of Bifurcation

---

The 750,000-square-foot First Financial Center, formerly known as the Duke Energy Convention Center, reopened in January following $264 million in renovations. The center features 200,000 square feet of renovated exhibit space, two ballrooms, 35 meeting rooms and a rooftop terrace.

Private investment for the hotel project is coming from Aimbridge Hospitality, which serves as the hotel manager and equity partner. The amount of the equity investment was not disclosed. Bank OZK is the senior lender and Huntington National Bank is the bridge lender. Details of the debt component of the package were not released.

The project financing is supported by approximately $249 million in public support, including a $50 million state capital grant, a $112 million public bond issuance relying mainly on tax-increment financing, a $50 million loan from the City of Cincinnati and $37 million in proceeds from a state tax credit award.

Piper Sandler Hospitality Finance Group served as placement agent and senior manager for the financing of the project. DiPerna & Co. is the financial advisor.

Skanska was awarded a $325 million contract to be the construction manager for the hotel development. Cooper Carry and Moody Nolan are providing architecture services.

Attracting more visitors to Cincinnati

The public-private partnership announced the project in 2022 and released renderings in 2024. Officials said the upcoming groundbreaking for the hotel development is a major milestone in the ongoing transformation of downtown Cincinnati.

As part of the First Financial Center renovations, enhancements were made to surrounding public spaces and Elm Street Plaza. 3CDC invested $28 million in the acquisition and renovation of the nearby, 780-space Convention Center Garage to support convention activity, hotel guests and downtown visitors. The goal is to elevate Cincinnati’s ability to attract national conventions, trade shows and major events.

The Cincinnati Downtown Marriott will feature more than 60,000 square feet of meeting space, a 17,445-square-foot events terrace, restaurant and bar. It will also have multiple ballrooms and ground-floor retail. The hotel will be connected to the convention center by a skybridge.

More Portman hospitality assets

Portman’s CRE investments span numerous sectors including hospitality, office, retail, industrial, multifamily and mixed-use development. The firm currently has approximately $1.5 billion of hospitality assets under management comprising eight hotels and more than 4,000 rooms in five major U.S. markets.

One of those properties is the Westin Cincinnati, a 456-key, full-service hotel located on Fountain Square in downtown Cincinnati. Portman acquired the asset in July 2025 as part of its value-add strategy for $60 million from Host Hotels & Resorts Inc. The hotel, which is near the convention center, has more than 30,000 square feet of meeting and event space, an onsite restaurant and bar, and a 24-hour fitness center.

In May, Portman acquired The Westin Peachtree Plaza, a 1,073-key, full-service hotel in downtown Atlanta, through its Portman Hospitality Fund I from Marriott International. Marriott continues to manage the property. One of Atlanta’s most recognizable landmarks, the 73-story cylindrical tower opened in 1976.