Demolition Begins at Historic KOY Building

Crews are tearing down the 1957 radio studio at 840 N. Central Ave. to make way for the planned Atari Hotel.

Updated on Nov. 6, 2026 in Construction

Demolition Begins at Historic KOY Building

Live Poll

Do you support large entertainment developments replacing older landmarks in your city?

Crews started demolishing the two-story KOY radio studio building at 840 N. Central Ave. in downtown Phoenix on Nov. 4, and more than a third of the structure had been torn down by Thursday afternoon. Intersection Development plans to build the $125 million Atari Hotel on the 1.6-acre site.

Why it matters

The project replaces a long-standing broadcast landmark with a major hotel development in downtown Phoenix. The development has been delayed since its 2020 announcement, and the company is now turning to individual investors to help fund it.

The $125 million Atari Hotel is being financed in part through a campaign targeting $35 million to $40 million, which is roughly 28% to 32% of the total cost. Intersection Development has not disclosed how much of that target has been raised.

The players

Intersection Development

Intersection Development is the Phoenix-area developer behind the planned Atari Hotel and the KOY site acquisition.

Audacy

Audacy is a national audio company that owned the KOY property before selling it in December 2023.

The details

Intersection Development acquired the 1.6-acre site for $1.6 million in 2023 after Audacy sold the property. The company launched a public investment campaign last year that includes a Regulation A Tier 2 equity offering allowing individual investors to buy a stake in the Atari Hotel, and it revised the project design after pandemic-related delays.

2020: The Atari Hotel project was first announced.
2023: Intersection Development acquired the KOY site.
December 2023: Audacy sold the property to Main & Main RoRo LLC, an affiliate of Intersection Development.
Nov. 4, 2026: Demolition of the KOY building began.
Early 2027: Construction is expected to begin after demolition is completed.

Season Trajectory

The demolition marks a shift from announcement to physical construction for a downtown Phoenix hotel project first unveiled in 2020. Construction is slated to start in early 2027, with Intersection Development aiming to open the hotel in late 2028 or early 2029.

Downtown Phoenix drivers and pedestrians along Central Avenue near Roosevelt Street should expect ongoing demolition activity as the site is cleared. The eventual 11-story hotel will add lodging capacity in the downtown core once it opens.

The takeaway

Redevelopment of legacy downtown properties can take years to move from announcement to construction, and funding strategies may shift along the way. Readers tracking the Atari Hotel should watch for updates on the investment campaign and the 2027 construction start.

What happens next

Demolition of the KOY building is expected to be completed before construction begins in early 2027, with the Atari Hotel targeted to open in late 2028 or early 2029.