Binghamton Mayor Matt Ryan says the city took over the Regency on Water Street Thursday.
The city announced in December it would take control of the hotel from Sarbro Associates.
Sarbro had trouble making government loan payments.
Ryan says the city hired a hospitality group to help manage the hotel.
He says no Regency employees should lose their jobs because of the transfer.
The city will look for a new buyer for the Regency.