Decision to open stunning Ritz-Carlton Hotel in downtown Portland in 2023 backfires spectacularly

The luxury Ritz-Carlton Hotel in downtown Portland, Oregon may be in trouble after less than just two years of operation.

Ready Capital, the lender to real estate group that owns the hotel announced a bleak future for the Ritz-Carlton in a report detailing the corporation's fourth-quarter earnings.

'The fourth quarter closes out a year of mixed results,' CEO Thomas Capasse wrote in a press release.

'On one hand, our Small Business Lending segment performed well, with significant origination growth reflecting the benefits of past investments.

'Meanwhile, our multi-family lending focused business faced challenges from higher rates, inflationary pressures, and lower rent growth.'

The Ritz Carlton was an underperforming property in the group's investment portfolio, failing to earn revenue comparable to the average for all Ritz-Carlton hotels.

The hotel's building, Block 216, was bought by real estate developer Walter Bowen in 2019 and opened in 2023.

The 35-story tower boasted luxury rooms starting at $500 a night and featured 132 condominiums.