As the explorers push deeper into the Paragon Hotel, the split between The Creepers and Tod's rival "Scavengers" turns bloody. Tod's crew attempts to hold the Creepers hostage to force them to help locate the mob cash.
However, the real threat is revealed to be the hotel's long-dormant supernatural occupant—an elongated, pale entity (Javier Botet) sustained by the violent deaths that occurred during the hotel’s gangster era. The hotel functions as a carnivorous entity, disorienting intruders with labyrinthine architecture.
Frank Balenger’s true identity is unmasked: he is not a simple reporter, but an individual with intimate ties to the Paragon’s history who entered the building on an unresolved personal reckoning. In the climax, the predatory creature and collapsing infrastructure wipe out the hostile Scavenger faction. Frank sacrifices himself inside the bowels of the building to distract the entity and trigger a structural collapse, enabling the remaining core Creepers—Cora, Rick, Diane, and Vernon—to navigate through the escape route unlocked by Cora’s skills and break out into the dawn, forever traumatized and abandoning their cameras.