Investment Overview

Marcus & Millichap is excited to present a distinctive investment opportunity in the heart of oil country with the listing of a dynamic property in Killdeer, North Dakota. Acquired by current ownership 1 1/2 years after its initial construction, this property comprises a well-maintained hotel and eight fully occupied apartments, delivering a strong blend of hospitality and residential rentals. The hotel, in proximity to key drilling sites that are too remote for accommodations in Dickinson, benefits directly from the vibrant oil sector. The property has seen significant capital expenditures, including $400K in recent upgrades, ensuring modern and appealing accommodations. The residential component consists of two ,four-unit buildings, each featuring spacious 1700-square-foot apartments with two bedrooms, one bath, in-unit washers and dryers, and includes 8 garage stalls. These apartments were remodeled last year and are fully leased at $1,100 per month—a competitive rate given the local average rent of $1,500. Additionally, the hotel has been diligently maintained with new roofs installed in 2016 and the parking lot seal-coated in 2021. The integration of the hotel with staff housing facilitates operational efficiency and enhances employee satisfaction, providing a stable workforce which is critical in such a demanding market. Killdeer's status as an oil town creates a consistent demand for lodging, driven by the area's industrial activities rather than seasonal tourism, offering an investor a steady income stream. The strategic positioning of this investment, combined with its robust income generation and recent capital improvements, makes it an attractive option for investors looking to capitalize on the lucrative intersection of housing and hospitality in a high-demand market. This property represents not just a chance to acquire real estate, but to invest in a thriving community at the core of North Dakota's oil production landscape.