Investment Overview

As the exclusive representative of the seller, Marcus & Millichap's Hospitality Division is pleased to present for sale to qualified investors the Holiday Inn Express & Suites Birmingham NE - Trussville (‘Hotel’ or ‘Property’) located in Trussville, Alabama. The IHG Hotels & Resorts-branded Hotel is offered at $6,200,000 or $96,875 per key. The Holiday Inn Express & Suites Birmingham NE - Trussville is a three-story hotel with 64 rooms, located at 5911 Valley Rd, Trussville, AL 35173. The Hotel is highly visible and easily accessible from US-59, which sees an annual average daily traffic of approximately 13,123 vehicles. Various common area amenities at the Property include a mini-market, seasonal outdoor pool, fitness center, business center, laundry facility, and 700 square feet of meeting room, that holds up to 40 people. Trussville, Alabama, is part of the Birmingham-Hoover Metropolitan Statistical Area (MSA), the largest in Alabama with a population exceeding 1.1 million. This MSA encompasses Jefferson, Shelby, St. Clair, Blount, Chilton, and Bibb counties, with Birmingham as its central city. The region's economy is diverse, driven by sectors such as manufacturing, healthcare, finance, and education, making it a robust market for investment opportunities. Major employers include Alabama Power Company (6,100+ employees), UAB Medicine (19,000+ employees), Regions Financial Corporation, and Mercedes-Benz plant in Vance, AL (6,100+ employees), boosting regional economic stability. Trussville has access to UAB Hospital, the state’s largest hospital, with 1,200+ beds, and Ascension St. Vincent’s Birmingham, with over 400 beds. These facilities attract patients and medical professionals, supporting hotel demand. The University of Alabama at Birmingham (22,000+ students) and Samford University (5,700+ students) drive year-round accommodation needs from students, faculty, and visitors. The Birmingham area’s attractions include the Birmingham Zoo (19.3 miles), Botanical Gardens (18.9 miles), Oak Mountain State Park (28.2 miles), and Ruffner Mountain (10.7 miles). Sports events at Protective Stadium (15.5 miles), and Regions Field (17.7 miles), and events like the Barber Vintage Festival at Barber Motorsports Park (14.5 miles), draw significant crowds. The Hotel's current RevPAR index of 90 percent indicates untapped potential. With strategic revenue management and marketing, a new owner could raise the index to 95-97 percent, driving room revenues to approximately $1.78-2.05 million dollars. This improvement would enhance ROI and increase asset value, offering substantial upside for investors. Between year-end 2023 and the twelve months ending in September 2024, the Hotel saw a notable increase of over 9 percent in room revenue. This presents significant benefits for potential investors, including heightened room revenues, excess capital for renovations, and operational benefits such as improved cash flow and economies of scale.