The hotel across the street from Target Center sold earlier this month for almost one-third of its price a decade ago.

Previously known as the Loews Minneapolis Hotel, the 251-room hotel sold for $23.5 million in a deal that closed on March 1, according to Hennepin County property records. That includes almost $2.5 million for furniture in the hotel.

Completed in 2003, the hotel is connected to Mayo Clinic Square, previously known as Block E, which now houses the Minnesota Timberwolves and Lynx practice facilities and offices.

The property last sold for $65 million in 2014, when it was named the Graves 601 Hotel. Jon Ruzicka of Marcus & Millichap told Finance & Commerce that the sale “broke the price per room record” in Minneapolis at almost $257,00 per room.

Based on a 2023 assessment, the market value for the hotel at 601 N. First Ave. had dropped to just under $28 million, property records indicate.

The hotel is now branded as The Lofton Hotel Minneapolis, under the Tapestry Collection by Hilton flag. Its new owners are Marcus Hotels & Resorts, Hempel Real Estate, and Robinson Park Investments. Marcus Hotels is also managing the hotel.

Milwaukee-based Marcus Hotels has a large portfolio of Midwestern assets, particularly in Wisconsin. Locally, the company manages the Hilton Minneapolis/Bloomington in Bloomington, and it previously managed the Crowne Plaza-Northstar Hotel in downtown Minneapolis.

Hempel is an Eden Prairie-based commercial real estate firm whose portfolio includes more than three dozen properties in the Twin Cities, plus almost a dozen in Milwaukee.

“As long-time investors in the Twin Cities area, we are thrilled to invest in a major downtown landmark at the heart of the city’s sports and entertainment districts,” Hempel CEO Josh Krsnak said in a statement. “This investment aligns closely with Hempel’s commitment to real estate projects that add meaningful value to cities and their communities.”

Lately, the company has been snatching up downtown Minneapolis properties at steep discounts, most notably LaSalle Plaza.

Hempel paid $46 million for LaSalle Plaza, a 620,000-square-foot office building, in an auction last June. The previous owner acquired the property for $155 million in 2011.

Hennepin County valued LaSalle Plaza at $76.4 million in 2023, down from $87.3 million in 2022, according to property records. The latter figure is almost twice as much as what Hempel paid for the building.

Similarly, the nearby Pence Building was acquired last October in an auction by Hempel for $3.6 million, about half of its assessed value. The historic office building last sold for $8.2 million in a February 2007 transaction that included multiple parcels.

Hempel has indicated that it’s not done investing in downtown Minneapolis.