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Hotel-Motel

Econo Lodge Grand Junction

751 Horizon Dr, Grand Junction, CO 81506

Listing Price: $3,500,000

Cap Rate
10.50%
Number of Rooms
49
RevPAR
$54
Price/Room
$71,429
RRM
3.61
Year Built
1979

Investment Overview

As the exclusive representative of the seller, Marcus & Millichap’s National Hospitality Division is pleased to present for sale to qualified investors the Econo Lodge Grand Junction (‘Hotel’ or ‘Property’). The Choice Hotels International-branded Hotel is offered at $3,400,000 or $69,388 per key. The Econo Lodge Grand Junction is a 49-room, interior-corridor, economy Hotel located at 751 Horizon Drive, just off Interstate 70. The Property is approximately 21,600 square feet across two floors and has various amenities including vending machines, a business center, and a breakfast dining area. Current ownership completed change-of-ownership PIP in 2021, providing a new investor with minimal to no PIP at sale. The city of Grand Junction, Colorado, is in Mesa County, approximately 250 miles west-southwest of Denver, Colorado. The local economy is a strong leisure market, supported by prominent industries, including health care, education, tourism, agriculture, livestock, and energy mining. St. Mary’s Hospital and Colorado Mesa University, two of the city’s largest employers located approximately 2.4 and 3.0 miles from the Hotel respectively, are prime revenue drivers for the surrounding area. Other notable demand generators include the Grand Junction Regional Airport (1.2 miles), Avalon Theatre (3.9 miles), The Escape House (3.7 miles), Museum of Western Colorado (4.2 miles), and Bananas Fun Park (5.3 miles). Additionally, the Grand Junction Convention Center, a 23,000 SF meeting and exhibit space, and two rivers winery and wedding venues, are located less than ten miles from the Property and help facilitate room demand in the area. The limited-service Hotel recorded room revenues of nearly $970 thousand in 2021 and a $54.22 RevPAR, a significant 26.4 percent increase from year-end 2019. Operationally, the Hotel maintained healthy cashflows with a pass-through net operating income of approximately 37.5 percent after a 4 percent capital replacement reserve, which equates to $367 thousand. The recently renovated Property is up to date with Choice Hotels International’s Econo Lodge standards and offers minimal to no PIP for a new investor.

Investment Highlights

  • Two-Story, 49-Room, Interior-Corridor, Limited-Service Hotel
  • Change-of-Ownership PIP Completed in 2021 to Meet All Choice Hotels International Brand Standards
  • Highly Visible and Easily Accessible from Horizon Drive, just off Interstate 70
  • Strategic Location near Grand Junction Regional Airport and Colorado Mesa University
  • No Competitive New Supply in the Colorado Northwest Area Submarket

Exclusively Listed By

Financing By

Hotel-Motel

Econo Lodge Grand Junction

Listing Price: $3,500,000

Cap Rate
10.50%
Number of Rooms
49
RevPAR
$54
Price/Room
$71,429
RRM
3.61
Year Built
1979

Investment Highlights

  • Two-Story, 49-Room, Interior-Corridor, Limited-Service Hotel
  • Change-of-Ownership PIP Completed in 2021 to Meet All Choice Hotels International Brand Standards
  • Highly Visible and Easily Accessible from Horizon Drive, just off Interstate 70
  • Strategic Location near Grand Junction Regional Airport and Colorado Mesa University
  • No Competitive New Supply in the Colorado Northwest Area Submarket

Investment Overview

As the exclusive representative of the seller, Marcus & Millichap’s National Hospitality Division is pleased to present for sale to qualified investors the Econo Lodge Grand Junction (‘Hotel’ or ‘Property’). The Choice Hotels International-branded Hotel is offered at $3,400,000 or $69,388 per key. The Econo Lodge Grand Junction is a 49-room, interior-corridor, economy Hotel located at 751 Horizon Drive, just off Interstate 70. The Property is approximately 21,600 square feet across two floors and has various amenities including vending machines, a business center, and a breakfast dining area. Current ownership completed change-of-ownership PIP in 2021, providing a new investor with minimal to no PIP at sale. The city of Grand Junction, Colorado, is in Mesa County, approximately 250 miles west-southwest of Denver, Colorado. The local economy is a strong leisure market, supported by prominent industries, including health care, education, tourism, agriculture, livestock, and energy mining. St. Mary’s Hospital and Colorado Mesa University, two of the city’s largest employers located approximately 2.4 and 3.0 miles from the Hotel respectively, are prime revenue drivers for the surrounding area. Other notable demand generators include the Grand Junction Regional Airport (1.2 miles), Avalon Theatre (3.9 miles), The Escape House (3.7 miles), Museum of Western Colorado (4.2 miles), and Bananas Fun Park (5.3 miles). Additionally, the Grand Junction Convention Center, a 23,000 SF meeting and exhibit space, and two rivers winery and wedding venues, are located less than ten miles from the Property and help facilitate room demand in the area. The limited-service Hotel recorded room revenues of nearly $970 thousand in 2021 and a $54.22 RevPAR, a significant 26.4 percent increase from year-end 2019. Operationally, the Hotel maintained healthy cashflows with a pass-through net operating income of approximately 37.5 percent after a 4 percent capital replacement reserve, which equates to $367 thousand. The recently renovated Property is up to date with Choice Hotels International’s Econo Lodge standards and offers minimal to no PIP for a new investor.

Exclusively Listed By

Financing By

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