The hotel is known to be one of the most haunted buildings in Downtown Tampa, with the highest levels of activity taking place in the lobby as well as various guestrooms.

The hotel's bar, the Sapphire Room, was a popular nightspot during World War II for servicemen who were training at nearby Drew Field to fly B-17s over Europe.

Many of the service men at that time were housed in makeshift barracks located underneath the bleachers at the old Florida State Fairgrounds racetrack a few blocks away.

[4] The hotel began to decline in the early 1960s, as more modern "motels" were built along the highways that skirted the city.

The Floridan Hotel finally closed its doors in 1989, after new owners failed to bring the building up to new firecodes.

The Sapphire Lounge on the first floor was likewise restored, and a ballroom, was added in a former post office building adjoining the hotel.