The Inn at the Black Olive will be converted into apartments, one of the owners of the property said Monday.

Financier Jack Dwyer, who partnered with actor and former guest Woody Harrelson to buy the property in 2014, said he expects renovations to start next week and the building to reopen in the next few months.

The 12-room hotel was a casualty of Baltimore’s “very competitive” hospitality market, Dwyer said.

Baltimore has seen a small boom in high-end hotels, such as the Four Seasons in Harbor East, the Ivy Hotel in Mount Vernon and the Sagamore Pendry Hotel in Fells Point.

The disruption and noise caused by the massive Harbor Point construction site across the street didn’t help either, Dwyer said.

“I think the soil boring was the killer,” he said. “People hear pounding at 7 a.m., they don’t like it.”

First conceived in 2000, the Inn at the Black Olive opened in 2011 as an eco-friendly boutique hotel, attracting guests that included Harrelson. But it faced troubles early on, with construction delays and financing problems.

Harrelson and Dwyer bought it out of foreclosure in 2014, after getting introduced by its original owner, Dimitris Spiliadis. They leased it back to him to operate. Spiliadis said Monday he plans to focus his attention on his family’s long-running Black Olive Restaurant on Bethel Street.

Dwyer, who is taking the top floor himself to keep as his Baltimore base when he’s not in Florida, said the decision to move on was made around the end of the fall. Harrelson remains involved, he said.

The building will have 10 to 12 units in addition to his penthouse unit when renovations — mostly installing kitchens at a cost of less than $1 million — are complete. Dwyer, the chairman of the Capital Funding Group, said he plans to rent the first floor to some type of restaurant — possibly a craft brewery.

nsherman@baltsun.com