Downtown San Antonio has been on a hotel high lately with splashy upcoming openings like the Monarch and El Tropicano. Still, one of the city center’s most high-profile luxury properties is facing a very different fate: the Thompson San Antonio – Riverwalk at 115 Lexington Ave is under foreclosu re-sale notice, according to Bexar County records.Before the foreclosure-sale notice was filed, Lenders Sunrise Realty Trust Holdings I LLC and Southern Realty Trust Inc. issued four separate default notices to the hotel’s Houston-based developer in 2025, most recently in December. According to the San Antonio Business Journal, which first reported the story, the firms refinanced the property with a $44 million loan in December 2024.In a media statement, Thompson's owners, DC Partners, said high interest rates and a wave of downtown hotel openings have cut into the property’s earnings since it opened in 2021. Plaza San Antonio Hotel Spa, Kimpton Santo, InterContinental San Antonio Riverwalk, and Canopy by Hilton all debuted in the past five years, while historic hotels like The Gunter Hotel have undergone multimillion-dollar renovations.“These factors — including opening during COVID and a broader softness in the San Antonio hotel market — created challenges that were not anticipated and challenging to overcome,” the statement said. “This is not a reflection of the quality of the asset or the long-term viability of the project, but rather a convergence of market forces affecting many developers across the country.”The foreclosure-sale notice does not affect the residential portion of the downtown building even though the two concepts share similar branding. The hotel arm includes 162 hotel rooms, rooftop bar The Moon’s Daughters, and Landrace restaurant, which has been temporarily shuttered since mid-2025. ...read more read less