Hotel-Motel

Super 8 Madison South

1602 W Beltline Hwy, Madison, WI 53713

Listing Price: Request For Offer

Number of Rooms
88
RevPAR
$23
Gross SF
38,220
Year Built
1989

Investment Overview

Marcus & Millichap, National Hospitality Group, as an exclusive representative of the seller, is pleased to present for sale to qualified investors the Fee Simple interest in Super 8 Madison South. This extensively renovated, interior corridor hotel has three stories with elevator access to all eighty-eight guest rooms. The lobby is above expectations with 2x2 modern tile and a breakfast bar that offers cook to order breakfast for all guests. The Super 8 Madison South is listed as "The Best Madison area Super 8 as it was extensively renovated during 2016/2017 and shows more like an upper mid-scale hotel rather than an economy hotel. With outstanding guest reviews, it is evident that this hotel is positioned well for an investor to benefit from a high occupancy property, 70.5% (111.8% Index) while still being able to capture a solid ADR of $79, (80% Index).
This hotel is being offered to the market at an attractive price of $5,800,000 ($65k/key), well below replacement cost and at discount of 3.25x room revenue. This asset is an opportunity fits almost any hoteliers investment parameters with a 4% Management fee and 4% reserve built in to the underwriting to ease lending. This is prime opportunity to acquire a well maintained fully renovated limited service hotel that pushes the $2 mil threshold consistently offering sufficient cash flow to pencil in an owner's withdrawal of 3% or a hands off management fee attractive enough to partner with top regional companies. This is one of the few Madison market opportunities available for investors to acquire a well-established, stabilized asset, far below construction costs with consistent returns.

Investment Highlights

  • Interior Corridor | 88 Rooms | 3 Stories | Elevator
  • Desirable Economy Tier Franchise
  • Madison MSA | International Airport | Capitol of WI | Location off Hwy 12
  • University Of Wisconsin Demand

Exclusively Listed By

  • Jon Ruzicka

    First Vice President Investments

    (952) 852-9767

    Email Jon

    License(s): MN: 40583288, IA: B63379000, ND: 10032, WI: 76173-94, SD: 17724, NE: 20200223

    Minneapolis

  • Jake M. Erickson

    Associate

    (952) 852-9721

    Email Jake

    License(s): MN: 40486025, IA: S66396000, WI: 89877-94

    Minneapolis

  • Jared Plamann

    Associate

    (952) 852-9745

    Email Jared

    License(s): MN: 40605209, WI: 89876-94

    Minneapolis

Broker of Record

  • Todd Lindblom

    Regional Manager

    License(s): WI: 56163-90

    Wisconsin

Listing Price: Request For Offer

Number of Rooms
88
RevPAR
$23
Gross SF
38,220
Year Built
1989

Investment Highlights

  • Interior Corridor | 88 Rooms | 3 Stories | Elevator
  • Desirable Economy Tier Franchise
  • Madison MSA | International Airport | Capitol of WI | Location off Hwy 12
  • University Of Wisconsin Demand

Investment Overview

Marcus & Millichap, National Hospitality Group, as an exclusive representative of the seller, is pleased to present for sale to qualified investors the Fee Simple interest in Super 8 Madison South. This extensively renovated, interior corridor hotel has three stories with elevator access to all eighty-eight guest rooms. The lobby is above expectations with 2x2 modern tile and a breakfast bar that offers cook to order breakfast for all guests. The Super 8 Madison South is listed as "The Best Madison area Super 8 as it was extensively renovated during 2016/2017 and shows more like an upper mid-scale hotel rather than an economy hotel. With outstanding guest reviews, it is evident that this hotel is positioned well for an investor to benefit from a high occupancy property, 70.5% (111.8% Index) while still being able to capture a solid ADR of $79, (80% Index).
This hotel is being offered to the market at an attractive price of $5,800,000 ($65k/key), well below replacement cost and at discount of 3.25x room revenue. This asset is an opportunity fits almost any hoteliers investment parameters with a 4% Management fee and 4% reserve built in to the underwriting to ease lending. This is prime opportunity to acquire a well maintained fully renovated limited service hotel that pushes the $2 mil threshold consistently offering sufficient cash flow to pencil in an owner's withdrawal of 3% or a hands off management fee attractive enough to partner with top regional companies. This is one of the few Madison market opportunities available for investors to acquire a well-established, stabilized asset, far below construction costs with consistent returns.

Exclusively Listed By

  • Jon Ruzicka

    First Vice President Investments

    (952) 852-9767

    Email Jon

    License(s): MN: 40583288, IA: B63379000, ND: 10032, WI: 76173-94, SD: 17724, NE: 20200223

    Minneapolis

  • Jake M. Erickson

    Associate

    (952) 852-9721

    Email Jake

    License(s): MN: 40486025, IA: S66396000, WI: 89877-94

    Minneapolis

  • Jared Plamann

    Associate

    (952) 852-9745

    Email Jared

    License(s): MN: 40605209, WI: 89876-94

    Minneapolis

Broker of Record

  • Todd Lindblom

    Regional Manager

    License(s): WI: 56163-90

    Wisconsin

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