Space Center Hotel to Close, to Reopen Under New Brand

The Hilton Houston NASA Clear Lake hotel has announced that it will lay off its 65 workers and close on July 31. The hotel will be redeveloped into a Compass by Margaritaville hotel. In August 2025, Nassar Bay Resorts acquired the 242-key hotel for $27 million.

The Houston Business Journal reports Nassar Bay Resorts is in charge of the rebranding and reconditioning. The hotel will reopen as the Compass by Margaritaville Nassau Bay. Construction to renovate the property will begin soon after closing in July and is expected to take 12 months.

The new hotel will be an upscale offering with restaurants, a lazy river and water amenities. On its website, Compaass by Margaritaville says it hopes travelers will discover spaces inspired by the Caribbean, blending surf-and-sand hues with warm, coastal charm. 

The hotel is on the banks of Clear Lake, next door to Johnson Space Center, home to NASA Mission Control.