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Topeka Development Corporation approves sale of Hotel Topeka to Endeavor Hotel Group
Summary
The Topeka Development Corporation voted to approve a purchase-and-sale agreement to sell Hotel Topeka to Endeavor Hotel Group LLC, with a stated $1 million purchase price, a 120‑day inspection period and a 60‑day close window; the vote was 9‑0 and public comment included sharp criticism of the selection process.
The Topeka Development Corporation on Dec. 16 approved a purchase-and-sale agreement to sell Hotel Topeka to Endeavor Hotel Group LLC, clearing terms that include a reported $1 million purchase price on execution, a 120‑day inspection and due‑diligence period and up to 60 days to close after inspections.
Deputy City Manager Braxton summarized the agreement and asked the TDC to approve the material terms. He said the inspection period will allow the buyer to provide a construction scope and project budget for staff review and that the city will evaluate whether the buyer’s scope is “commercially reasonable” before finalizing the transaction. Braxton said the city will retain proceeds from the transient guest tax (TGT) increment after a charter ordinance raising the TGT for Hotel Topeka to 8% and that staff will return with a proposed Community Improvement District (CID) to consider whether it would apply to the hotel alone or include the Manor Center.
Braxton also outlined restrictions included in the contract: a five‑year prohibition on sale except to a subsidiary or a majority‑controlled entity without city council approval, a five‑year restriction on changing the hotel flag without city council consent, and a requirement that the city terminate its existing hotel management agreement before closing — termination that requires 45 days’ notice and payment of the baseline management fee for that 45‑day period.
Representatives with Endeavor said they appreciated the work of city staff and counsel and expected to begin due diligence immediately. “We are excited to get started on due diligence and move the process forward,” Roy (identified in the meeting as with Endeavor) said.
Board members who spoke lauded the selection and the potential community benefits. Director Dolan, who moved approval, said the $1 million price “makes the asset viable long term” and cited anticipated benefits to nearby convention and event venues. The motion to approve was seconded by Director Kelt; the clerk recorded nine affirmative responses and announced the motion carried.
Public comment followed. Henry McClure, the lone signed public commenter, criticized the board’s selection process and consultant use, alleging an alternate higher offer was not treated equitably and questioning whether the city prioritized other needs such as lead pipe replacement. “You’re terrible at it. This was a terrible deal,” McClure said, urging the city to dissolve the TDC and accusing the process of disadvantaging a person of color.
The board did not take additional formal action at the meeting; President Padilla thanked staff for their work and adjourned after public comment. Staff will return with any CID proposal and additional documents necessary to complete closing if due diligence and financing proceed as outlined.
