The new Arctic Club Hotel in Seattle has decided to no longer be a luxury hotel, and said that downscaling will help it attract more customers.

“Recent economic factors are driving the Arctic Club Hotel ownership to a make a decision that will rebrand its services to that of a three-diamond hotel,” said Stan Kott, general manager.

The hotel seeks to partner with a “national franchise brand” because such an agreement “will present a high-end value proposition to a much broader customer base and will provide economic vitality for the property and its employees,” Kott said.

The downscaling will affect Juno, the hotel’s fine-dining restaurant; the establishment will change to “urban casual,” Kott said.

The 120-room Arctic Club Hotel opened in July. The current owners bought the building, originally an exclusive men’s club, from the city of Seattle in 2005 and converted it into a hotel. The building was constructed in 1917 and is on the National Register of Historic Places.

The hotel features the Polar Bar and the Northern Lights Dome Room, event space covered by a stained-glass dome.