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Hotel-Motel

La Quinta Inn & Suites Alamo - McAllen East

909 E Frontage Rd, Alamo, TX 78516

Listing Price: $6,300,000

Cap Rate
10.36%
Number of Rooms
61
RevPAR
$67
Price/Room
$103,279
RRM
4.22
Year Built
2007

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 La Quinta Inn & Suites Alamo – McAllen East (‘Hotel’ or ‘Property’). The Wyndham Hotels-branded Hotel is offered at $6,300,000 or $103,279 per key. La Quinta Inn & Suites Alamo – McAllen East is located at 909 East Frontage Road in Alamo, Texas just off Interstate 2. The 61-room, three-story, Property was built in 2007 and spans 2.06 acres. With roughly 30,000 square feet of interior space, the limited-service Hotel maintains a wide array of common area amenities including 800 square feet of meeting and event space, a business center, a fitness center, guest laundry facilities, and an indoor pool and hot tub. McAllen is the largest city in Hidalgo County, Texas, United States, and the 21st-most populous city in Texas. Hidalgo’s county seat is Edinburg, but the city of McAllen is the largest population center. McAllen is part of the McAllen-Edinburg-Mission Metropolitan Statistical Area (MSA) and it is located in the Rio Grande Valley of South Texas. Home to nearly 850,000 residents, it is one of the fastest-growing counties in the United States and the fifth-most populous MSA in Texas. McAllen’s population has increased by approximately 11 percent since 2011 and the Rio Grande Valley’s current population exceeds 1.35 million residents. Historically, McAllen’s growth was driven by agriculture and petroleum, and while these sectors still play a prominent role in the economy, McAllen’s designation as a foreign trade zone has established the city as a major hub for international trade and distribution. Major employers include Edinburg Regional Medical Center, McAllen Medical Center, BBVA Compass Bank, International Bank of Commerce, Coca-Cola Bottling Co, Fox Packaging, and Palmer Steel Supplies. Three universities, Franklin University, The University of Texas Rio Grande Valley, and South Texas College, call McAllen home and enroll around 48,000 students. Air travel to the region is serviced by McAllen Miller International Airport, located 10 miles from the Subject Property. Through 2021, the limited-service Hotel recorded over $1.22 million in room revenues, accompanied by a healthy net operating income of over $566 thousand or 45.8 percent of gross revenues, after a four percent capital replacement reserve. According to the December 2021 STR report, the Property set an 81 percent RevPAR Penetration Index, leaving substantial upside for a new owner. The Hotel recently completed the Wyndham-required property improvement plan (PIP), allowing an investor to acquire this Hotel with little to no change of ownership PIP.

Investment Highlights

  • Three-Story, 61-Room, Limited-Service, Wyndham Hotels-Branded Hotel
  • Excellent Highway Accessibility and Visibility from Interstate 2 and Expressway 83
  • Multitude of Business and Leisure Demand Generators Including Edinburg Regional Medical Center, McAllen Medical Center, The University of Texas Rio Grande Valley, and South Texas College
  • $1.22 Million in Room Revenues Through Year-End 2021
  • Excellent Investment Opportunity for A New Owner to Acquire a Strong Performing Asset and Continue Driving Revenues and Reaping Ideal Returns

Exclusively Listed By

Financing By

Hotel-Motel

La Quinta Inn & Suites Alamo - McAllen East

Listing Price: $6,300,000

Cap Rate
10.36%
Number of Rooms
61
RevPAR
$67
Price/Room
$103,279
RRM
4.22
Year Built
2007

Investment Highlights

  • Three-Story, 61-Room, Limited-Service, Wyndham Hotels-Branded Hotel
  • Excellent Highway Accessibility and Visibility from Interstate 2 and Expressway 83
  • Multitude of Business and Leisure Demand Generators Including Edinburg Regional Medical Center, McAllen Medical Center, The University of Texas Rio Grande Valley, and South Texas College
  • $1.22 Million in Room Revenues Through Year-End 2021
  • Excellent Investment Opportunity for A New Owner to Acquire a Strong Performing Asset and Continue Driving Revenues and Reaping Ideal Returns

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 La Quinta Inn & Suites Alamo – McAllen East (‘Hotel’ or ‘Property’). The Wyndham Hotels-branded Hotel is offered at $6,300,000 or $103,279 per key. La Quinta Inn & Suites Alamo – McAllen East is located at 909 East Frontage Road in Alamo, Texas just off Interstate 2. The 61-room, three-story, Property was built in 2007 and spans 2.06 acres. With roughly 30,000 square feet of interior space, the limited-service Hotel maintains a wide array of common area amenities including 800 square feet of meeting and event space, a business center, a fitness center, guest laundry facilities, and an indoor pool and hot tub. McAllen is the largest city in Hidalgo County, Texas, United States, and the 21st-most populous city in Texas. Hidalgo’s county seat is Edinburg, but the city of McAllen is the largest population center. McAllen is part of the McAllen-Edinburg-Mission Metropolitan Statistical Area (MSA) and it is located in the Rio Grande Valley of South Texas. Home to nearly 850,000 residents, it is one of the fastest-growing counties in the United States and the fifth-most populous MSA in Texas. McAllen’s population has increased by approximately 11 percent since 2011 and the Rio Grande Valley’s current population exceeds 1.35 million residents. Historically, McAllen’s growth was driven by agriculture and petroleum, and while these sectors still play a prominent role in the economy, McAllen’s designation as a foreign trade zone has established the city as a major hub for international trade and distribution. Major employers include Edinburg Regional Medical Center, McAllen Medical Center, BBVA Compass Bank, International Bank of Commerce, Coca-Cola Bottling Co, Fox Packaging, and Palmer Steel Supplies. Three universities, Franklin University, The University of Texas Rio Grande Valley, and South Texas College, call McAllen home and enroll around 48,000 students. Air travel to the region is serviced by McAllen Miller International Airport, located 10 miles from the Subject Property. Through 2021, the limited-service Hotel recorded over $1.22 million in room revenues, accompanied by a healthy net operating income of over $566 thousand or 45.8 percent of gross revenues, after a four percent capital replacement reserve. According to the December 2021 STR report, the Property set an 81 percent RevPAR Penetration Index, leaving substantial upside for a new owner. The Hotel recently completed the Wyndham-required property improvement plan (PIP), allowing an investor to acquire this Hotel with little to no change of ownership PIP.

Exclusively Listed By

Financing By

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