BUFFALO, N.Y. (WKBW) — The owner of the Buffalo Grand says the last-minute financing deal to get the downtown hotel back online has fallen through.
In a phone call Friday morning, owner Harry Stinson told 7 News the representatives of investor Perry Davis called Stinson last night, changing the terms of the partnership.
"I'm not closing the door, but what was proposed was so radically different than what was originally proposed that we'll have to carry on with other alternatives," Stinson said.
Stinson would not elaborate on the specific changes suggested, but added that they meant the deal was "very different" and no longer "an equal partnership."
The city was informed of the changes on Friday morning, according to Stinson, and he expects to meet with city officials early next week.
"The response from the city was reasonable and understanding," he added.
In a statement, a city spokesperson confirmed city leadership has a scheduled meeting with the "project leadership team" on Monday.
"The City of Buffalo is aware that the potential funding for the Buffalo Grand project did not materialize as expected.
"City leadership will be meeting with the project leadership team on Monday to asses the current status. We expect a clearer understanding following that discussion."
On Wednesday, Stinson spoke with 7 News' Michael Wooten to announce the "eight-figure" partnership with the Florida-based investor. Stinson landed that deal on the day of the deadline to secure financing set by the City of Buffalo before recommencing abandonment proceedings. You can watch our previous report from Wednesday below.
WATCH: Buffalo Grand owner says he has secured financing to reopen the hotel as a deadline looms
The disintegrated deal is the latest in a number of twists and turns for the hotel. The beleaguered building has sat vacant for four years after a fire in the event space in December 2021. A battle between Stinson and his insurance company ensued, which Stinson eventually won. The City of Buffalo officially started abandonment proceedings to claim the building in December 2025 under former Acting Mayor Christopher Scanlon.
But the Ontario-based owner says he's not walking away from the project.
"We are going to see it through," Stinson said. "I've had a bloody nightmare with this thing between COVID and the fire and the insurance battle."
He added he plans to continue negotiating an agreement with "third-party investors."
Stinson claims he has received a number of other financing proposals that he turned down because he felt they were unfair.
"Low-balling is being generous," he said of those offers.
He told us it will take a seven-figure sum to redevelop the hotel.
WATCH: Deal's off: Buffalo Grand owner says financing deal to reopen hotel has fallen through
In October 2025, Scanlon said Stinson owed the city more than $300,000 in unpaid taxes and sewer fees. The city said they are working to confirm if those numbers are still accurate.
Stinson separately owes Erie County more than $80,000 in unpaid taxes. In 2022, Erie County also filed a tax warrant to try to recover more than $43,000 in unpaid hotel occupancy tax, also known as "bed tax." That money is still outstanding, according to the Erie County Comptroller's Office.
In 2023, Stinson was cited by the Ontario Securities Commission for breaking Ontario securities law while raising money from investors to redevelop the hotel. Stinson and Buffalo Grand were ordered to jointly repay the $13.5 million they raised from investors and pay a $600,000 administrative penalty and $166,000 in costs. Stinson fought that ruling, but a tribunal stood by the original order in November 2025.
