The Line Austin hotel is slated to be sold at a Travis County foreclosure auction on June 2, with the 428-key property headed to the block after its owner defaulted on its debt. The hotel, positioned where Lady Bird Lake meets downtown Austin, is expected to be awarded to the highest bidder at the county-run sale.
The property traces its origins to 1965, when it opened as the Crest Hotel. It later operated under the Radisson flag before changing hands a decade ago. In 2016, Sydell Group acquired the hotel for $130 million and subsequently rebranded it as The Line, aligning the asset with a lifestyle-oriented hospitality concept.
The Line brand is part of Soho House & Co. Inc., extending that company’s footprint in the boutique and design-focused hotel segment. The Austin property’s repositioning under the Line flag followed its 2016 sale, representing a significant capital commitment at the time to refresh and reposition the legacy asset within the city’s core hospitality market.
According to reporting cited from the Austin Business Journal, the hotel’s current owner fell behind on a $172 million loan that JPMorgan provided, with the default occurring in December 2023. Public records indicate that the 169,586-square-foot property now carries an appraisal of $168.9 million, setting a reference point for bidders evaluating the foreclosure auction opportunity.
The challenges at The Line Austin follow a similar outcome for another hotel under the same brand. In January 2025, The Line hotel in Washington, D.C.’s Adams Morgan neighborhood was also sold at a foreclosure auction. That property was acquired by its lender, Acore Capital, underscoring that distress within this particular flag has surfaced in more than one urban market over the past two years.
