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Hotel-Motel

Dickinson Inn

637 12th St W, Dickinson, ND 58601

Listing Price: $1,550,000

Cap Rate
15.35%
Number of Rooms
60
RevPAR
$25
Price/Room
$25,833
RRM
2.81
Year Built
1976

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 Dickinson Inn (‘Hotel’ or ‘Property’). The independent-branded Hotel is offered at $1,550,000 or $25,833 per key. The Dickinson Inn is located at 637 12th Street West in Dickinson, North Dakota at the intersection of Interstate 94 and Highway 22. The 60-room, interior-corridor, was built in 1976 and stretches 1.07 acres, with approximately 31,200 square feet between three floors. Dickinson, the county seat of Stark County, is located in the southwest region of North Dakota, just 6.8 miles away from Theodore Roosevelt Regional Airport, within an area known as the Williston Basin. This major oil and gas basin is estimated to contain 134 million barrels of oil and 81 billion cubic feet of gas, supplying the region with a valuable economic resource. Outside of oil and gas, mining and quarrying exist as two other major industries in the city. The top employers of Dickinson include St. Joseph’s Hospital, Dickinson State University, TMI Systems, and Steffes. While the local economy spurs demand within its respective industry, nearby attractions that drive tourism include Dickinson Museum Center, Southwest Speedway, Dickinson Walking Tour, and Heart River Golf Course. Other demand generators include West River Community Center, Patterson Lake Recreational Area, Theodore Roosevelt Center, Dickinson State University, Dickinson State, University Art Gallery, Prairie Outpost Park, Pioneer Machinery Building, Red Coach Lounge, Aloha Tan, Ukrainian Cultural Institute. Dickinson’s room demand correlates strongly with oil and gas production causing a decrease in rooms sold through 2020 and 2021 as the industry slowed down. However, with oil prices reaching their highest levels in six years in 2021, the industry is rebounding strongly, suggesting a major improvement in market RevPAR. In fact, the North Dakota twelve-month April 2022 RevPAR was up sharply year-over-year, climbing at a 47.7 percent rate. Through contractual business and marketing strategies to capture transient costumers, a new owner can expect continued year-over-year RevPAR growth, not only benefiting top line revenue but also NOI flow-through and overall value.

Investment Highlights

  • Three-Story, 60-Room, Independent-Branded Hotel within the Williston Basin
  • Highly Visible and Easily Accessible from Interstate 94 and Highway 22
  • Surrounded by Nationally Acclaimed Retailers, Restaurants, and Entertainment Amenities
  • Newly Renovated Hotel with Little or No PIP

Exclusively Listed By

Broker of Record

  • Jon Ruzicka

    First Vice President Investments

    (952) 852-9700

    License(s) ND: 10032

    North Dakota

Financing By

Hotel-Motel

Dickinson Inn

Listing Price: $1,550,000

Cap Rate
15.35%
Number of Rooms
60
RevPAR
$25
Price/Room
$25,833
RRM
2.81
Year Built
1976

Investment Highlights

  • Three-Story, 60-Room, Independent-Branded Hotel within the Williston Basin
  • Highly Visible and Easily Accessible from Interstate 94 and Highway 22
  • Surrounded by Nationally Acclaimed Retailers, Restaurants, and Entertainment Amenities
  • Newly Renovated Hotel with Little or No PIP

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 Dickinson Inn (‘Hotel’ or ‘Property’). The independent-branded Hotel is offered at $1,550,000 or $25,833 per key. The Dickinson Inn is located at 637 12th Street West in Dickinson, North Dakota at the intersection of Interstate 94 and Highway 22. The 60-room, interior-corridor, was built in 1976 and stretches 1.07 acres, with approximately 31,200 square feet between three floors. Dickinson, the county seat of Stark County, is located in the southwest region of North Dakota, just 6.8 miles away from Theodore Roosevelt Regional Airport, within an area known as the Williston Basin. This major oil and gas basin is estimated to contain 134 million barrels of oil and 81 billion cubic feet of gas, supplying the region with a valuable economic resource. Outside of oil and gas, mining and quarrying exist as two other major industries in the city. The top employers of Dickinson include St. Joseph’s Hospital, Dickinson State University, TMI Systems, and Steffes. While the local economy spurs demand within its respective industry, nearby attractions that drive tourism include Dickinson Museum Center, Southwest Speedway, Dickinson Walking Tour, and Heart River Golf Course. Other demand generators include West River Community Center, Patterson Lake Recreational Area, Theodore Roosevelt Center, Dickinson State University, Dickinson State, University Art Gallery, Prairie Outpost Park, Pioneer Machinery Building, Red Coach Lounge, Aloha Tan, Ukrainian Cultural Institute. Dickinson’s room demand correlates strongly with oil and gas production causing a decrease in rooms sold through 2020 and 2021 as the industry slowed down. However, with oil prices reaching their highest levels in six years in 2021, the industry is rebounding strongly, suggesting a major improvement in market RevPAR. In fact, the North Dakota twelve-month April 2022 RevPAR was up sharply year-over-year, climbing at a 47.7 percent rate. Through contractual business and marketing strategies to capture transient costumers, a new owner can expect continued year-over-year RevPAR growth, not only benefiting top line revenue but also NOI flow-through and overall value.

Exclusively Listed By

Broker of Record

  • Jon Ruzicka

    First Vice President Investments

    (952) 852-9700

    License(s): ND: 10032

    North Dakota

Financing By

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