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 Hawthorn Suites Fort Wayne (‘Hotel’ or ‘Property’). The Wyndham Hotels-branded Hotel is offered on a “call for offers” basis. Please reach out to the listing agent for more information. The Hawthorn Suites Fort Wayne is an 80-room, extended-stay, midscale Hotel established at 4919 Lima Road, near the intersection of Interstate 69 and Highway 27. The Property is approximately 50,300 square feet across two floors and maintains amenities including an outdoor pool, BBQ grills, business center, and guest laundry facilities. Fort Wayne is situated in the northeast region of Indiana, 18 miles from the Ohio border and 50 miles from the Michigan border. The city is the county sear of Allen County and a major cultural and economic center of northeastern Indiana. With the city’s major employers and popular revenue generators near the Property, this sought-after Hotel benefits from many key industries of the city which include manufacturing, health care, retail trade, finance, and government. Parkview Health and Lincoln Financial Group, two of the city’s largest employers located approximately five miles from the Hotel, are prime revenue drivers for the surrounding area. Other major employers responsible for a significant portion of the workforce include Raytheon, Exelis, Regal Beloit, Dana Holding Corporation, Fruehauf Corporation, General Electric, International Harvester, and Tokheim, among several others help bring additional revenue to the Hotel through an increase in transient business. Leisure demand drivers for the city include Allan County War Memorial Coliseum (2.1 miles), Indiana University Fort Wayne (2.8 miles), Purdue University Fort Wayne (4.5 miles), Fort Wayne International Airport (12.0 miles), and the Fort Wayne Children’s Zoo (1.7 miles). Additionally, the city is home to a vibrant arts and cultural scene, which includes the Fort Wayne Museum of Art, the Botanical Conservatory, and the Embassy Theatre. There are also several parks and nature reserves in the area, Franke Park for instance, and suppliers like Fort Wayne Outfitters & Bike Depot providing the necessary gear for a wide range of outdoor activities. The city is also known for its diverse dining options, ranging from traditional American fare to international cuisine. The hotel’s location near major highways and interstates, including I-69, I-469, and US 30, provides easy access for both leisure and business travelers. The city is also served by the Fort Wayne International Airport, offering direct flights to several major cities in the United States. In 2022, the extended-stay Hotel recorded room revenues that exceeded $1 million and a net operating income of $130 thousand, or 12.4 percent as a percentage of total revenues, after a 4 percent capital replacement reserve. Current ownership has thoughtfully maintained the Property, renovating 16 rooms across two buildings in 2022. Although 2022 RevPAR is below the Hotel’s historical average, an experienced owner-operator should be able to capitalize on the anticipated increase in RevPAR from better revenue management, potentially achieving maximum revenues and higher NOI flow-through. The Property has multiple buildings and can also be a potential conversion to an apartment building, with full kitchenettes in every unit.