The 1907 Scarritt Building, reborn — a hotel, an immersive venue, and the cultural engine of Universal Music Group.
A landmark of superior architecture on Grand Boulevard — placed on the National Register of Historic Places in 1971. Kansas City built it before the world knew what this city would give it.
At 18th & Vine, a teenager named Charlie Parker was forging the sound that changed American music forever. Jazz didn't pass through Kansas City — it was made here.
The world's largest music company plants its North American flag in the building where Grand Boulevard began — a hotel, a venue, and a recording studio in the city that earned them.
Every era of this story had its builders. The third act is looking for its founders.
An equity interest in UMH KC LP. The 1907 Scarritt Building & Arcade — acquired September 2025, reborn as hotel, venue and spa.
More than a hotel — a 360° creative ecosystem with a concert venue, recording studios, listening rooms and F&B, driven by UMusic Hospitality & Lifestyle.
At E 9th & Grand in the heart of a booming downtown — across from the new 239-key AC Marriott, steps from Power & Light, T-Mobile Center and CPKC Stadium.
$165M+ in city incentives, ~$45M in historic tax credits, C-PACE financing and 30-year abatements lower the equity required and enhance returns.
The hotel and its venue will be programmed by Universal Music Group — turning UMG's artists, IP and cultural leadership into a new vertical of entertainment hospitality through UMusic Hospitality & Lifestyle (UMHL), the exclusive management company for UMusic Hotels.
UMusic Hotel Madrid opened the category — operating under the UMG brand since late 2023.
Jazz was forged at 18th & Vine. A century later, downtown Kansas City is one of the fastest-growing urban cores in America — and it's investing like it.
818 Grand Blvd — the adaptive reuse of the 117-year-old Scarritt Building & Scarritt Arcade into a first-of-its-kind creative hotel.
The residences and retail rise next door under the same master plan. This offering is the hotel — the first act of the district.
The restored Scarritt Building — on the National Register of Historic Places since 1971 — opens first, carrying the historic tax credits, the venue and the brand.
Downtown Kansas City remains our region's premier destination for unique and transformative development. We look forward to welcoming new residents and a new signature addition to Kansas City's skyline when 800 Grand is complete.
Saving the historic Scarritt Building is vital to the Grand corridor and our greater downtown. This development aligns with Port KC's mission to attract catalytic growth and sustainable economic vitality to our city.
This'll create another half a billion right in the heart of our downtown — and we're certain that's going to spur more development along the Grand corridor.
Kansas City's commitment shows up in one of the most creative capital stacks in the market. Incentives enter as non-participating capital — lowering the equity required and enhancing projected returns.
| Senior Debt | $78.0M |
| C-PACE Debt | $50.0M |
| HTC Financing | $43.7M |
| LP Equity | $13.9M |
| Total Capitalization | $185.6M |
Through its nonprofit AMPD Foundation, UMHD pairs the development with a long-term social-impact strategy — expanding access to the creative economy for Kansas City youth.
Co-created with PFC (127 schools, 25 countries, 4,000 students) — after-school and weekend programming for K-12 students in the KCPS district.
A UMusic-branded performance venue, recording studio and podcast studio built to support education, collaboration and workforce training.
Emerging local artists gain exposure to UMG and real pathways into the music industry — turning cultural access into economic mobility.
Public Law 119-21, signed July 4, 2025, made 100% first-year bonus depreciation permanent (IRC §168(k)) for qualified property acquired after January 19, 2025. The hotel's FF&E and land improvements can be fully depreciated in year one, generating early paper losses passed to investors via Schedule K-1.
projected federal tax benefits for a $100,000 investor — with ~$112,000 realized within about four years of opening.
1 · A cost-segregation study prepared by Baker Tilly breaks the hotel's basis into components: furniture, fixtures & equipment (5–7 year property) and land improvements (15-year property).
2 · Under §168(k) as amended, property with a recovery period of 20 years or less qualifies for a 100% deduction in the year placed in service — instead of spreading over 5–15 years.
3 · The partnership allocates those first-year losses to investors on Schedule K-1, which may offset other income — subject to each investor's own limits: passive-activity rules (§469), tax basis, at-risk rules (§465), business-interest limits (§163(j)), and state conformity.
Invest $100,000 or more to unlock a founding-owner membership:
| What it gives you | Index funds | Rental property | 818 Grand |
|---|---|---|---|
| You can stand inside it | — | ✓ | ✓ |
| First-year bonus depreciation | — | partial | ✓ |
| Opening night, backstage | — | — | ✓ |
| Your name in the building | — | — | ✓ |
| A story your family retells | — | — | ✓ |
An index fund never asks you to opening night.
Two sliders. Three layers of return — cash, tax savings, combined.
Structure, not magic. Over $165M in city, state and historic-tax-credit incentives enter the project as non-participating capital — they fund construction but don't share in profits. A comparatively small LP equity base carries a $185.6M project, which concentrates the projected upside on that base.
Be clear-eyed about the mirror image: concentration amplifies downside the same way. That trade — outsized projected returns for real risk — is the honest description of this deal.
Yes — and you can read it yourself. The One Big Beautiful Bill Act (Public Law 119-21, signed July 4, 2025) made 100% first-year bonus depreciation permanent under IRC §168(k) for qualified property acquired after January 19, 2025. The IRS issued implementing guidance in Notice 2026-11. Hotel FF&E and land improvements are classic qualifying property, identified through a cost-segregation study prepared by Baker Tilly.
Because your ceiling is personal. Federal law limits how much loss you can actually use in a given year: passive-activity rules (§469), your tax basis, at-risk rules (§465), and business-interest limits (§163(j)). Unused losses generally carry forward rather than vanish. States differ too — some conform to federal bonus depreciation, others decouple. That is exactly why this calculator asks for your tax rate, why the intake asks for your ZIP, and why your CPA should see the numbers before you commit.
Real things, on real schedules: construction completing on time and on budget, the hotel reaching its projected rates and occupancy, the venue and F&B programming performing, and a healthy environment for refinance or sale. Any of them can underperform. This is a development deal — principal is at risk, distributions are not guaranteed, and the projections are dated estimates, not promises. We would rather you invest with clear eyes than big ones.
Register your interest, sign the NDA, and the data room opens: the full financial model behind this calculator (pro forma dated 09.09.2025), the depreciation schedule with Baker Tilly's cost-segregation detail, and the incentive documentation behind the $165M. Bring your CPA and your attorney — we expect them, and the diligence process is built for them.
Scarritt Building & Arcade acquired — asset control secured
Design development; Historic Tax Credit submission
≈$109M TIF approved unanimously; GMP pricing; financing close
Construction — restoring the 117-year-old landmark
UMusic Hotel Kansas City opens — first act of the district
±330-unit UMusic Residences & retail complete the block
Former Chairman & CEO of IMH Financial; repositioned L'Auberge de Sedona; 30+ years and $5B+ in real-estate and financing transactions.
25+ years in real-estate capital raising — Virgin Hotel Las Vegas, Bishop's Lodge; co-founded IMH Financial, raising $900M+.
Experience-focused hotelier behind L'Auberge de Sedona (#1 in the Southwest, 2016) and MacArthur Place, Sonoma.
25+ years guiding hospitality and real-estate organizations from loss to sustainable profitability.
Leads investor services, operating agreements and PPMs; formerly on a top retail brokerage team at CBRE.
Former Wells Fargo Hotel Franchise Finance; financed Hilton and Marriott products nationwide. U.S. Marine Corps veteran.
15+ years in real estate, development and construction across the U.S. and Mexico; sets BR's vision, partnerships and growth.
23 years at the intersection of sports, law and land — former COO & General Counsel of Sporting Kansas City; Cascade Hotel developer.
16+ years delivering high-profile projects; leadership roles at IQHQ, EDGE and Greystone across the development lifecycle.
Founding investors may choose to have their name cast in brass in the restored Scarritt Arcade — permanent, physical, touchable by the next generation. A 117-year-old building's third act, with your name in it.
UMusic Hotel Kansas City · UMH KC LP · Minimum investment $50,000
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Investor.services@umhd.com · UMusic Development, LLC · 7001 N Scottsdale Rd, Suite 2050, Scottsdale, AZ 85253
CONFIDENTIAL. This website is for discussion purposes only and does not constitute an offer to sell or a solicitation of an offer to buy any security. Any such offer will be made only through definitive offering documents. All financial data is unaudited; projections represent estimates based on assumptions believed reasonable and are not guarantees of future results. Past performance is not indicative of future results. Prospective investors should consult their own legal, tax and financial advisors.
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