Hotel-Motel

La Quinta Inn & Suites Loveland

1450 Cascade Ave, Loveland, CO 80538

Listing Price: Request For Offer

Number of Rooms
69
RevPAR
$50
Gross SF
41,963
Year Built
2008

Investment Overview

Marcus & Millichap's National Hospitality Group, as the exclusive representative of the seller, is pleased to present for sale to qualified investors the La Quinta Inn & Suites Loveland, a three-story, 69-room upper midscale hotel that was built in 2008 (the Property) and is located within the third largest MSA in Colorado, the Fort Collins MSA. A fee simple interest in the Property is offered on a call-for-offers basis and unencumbered by a management contract.

Recognized by Wyndham as the #1 La Quinta in the United States for 2020, this three-story, 69-room hotel presents a new investor the chance to acquire this well-maintained asset within a major MSA near a diverse set of transient, group and business demand drivers. The franchises change-of-ownership PIP is expected to be minimal as the current owner completed all PIP requirements per the existing franchise agreement in 2019. Property upside potential includes franchise conversion opportunities now or in the future given the quality of the asset, overperformance relative to its competitive set (RevPAR Penetration of 106% for FYE 2019 and 113% for TTM Aug-2020) and favorable liquidated damages given current market conditions. Major franchise companies with licenses available in the market includes Hilton (Tru, HomeWood Suites, Home2Suties, Hilton Garden Inn), Best Western and IHG. Additional upside through increasing the EBITDA margin is also possible, as a deeper look into departmental expenses will show current inefficiencies in operations.

Popularly known as the Sweetheart City, Loveland emits an abundance of economic drivers that boost the hospitality market. Home to the largest sculpture gardens in the country, the Benson Sculpture Garden, and the Budweiser Event Center, Lovelands huge regional attractions draw a large amount of tourists to the area. Business demand is generated by major employers in the area such as Anheuser Busch, Otter Products, and Colorado State University, with excellent shopping and restaurant options for visitors such as the Belgium Brewing Company, The Foundry, the Outlets at Loveland, and The Promenade Shops at Centerra just a short drive away. Notably, the Property is the only franchised hotel in Loveland within close proximity to Rocky Mountain National Park, and is therefore best-positioned hotel in the market to capture this demand.

The Property is currently encumbered by $4.2M of assumable CMBS debt with a 5.33% interest rate upon payment of a 1% assumption fee and satisfaction of other loan requirements. Loan documents will be available to qualified buyers upon review and approval of acceptable financial capacity and hospitality industry experience. Prospective buyers that intend to recapitalize the property with new debt upon acquisition must factor the cost of defeasance in the offer price.

Investment Highlights

  • 69-Room, Interior Corridor, Midscale Hotel Built in 2008
  • Located Within the Fort Collins MSA Third Largest in Colorado
  • Outperforming the Market with 113% RevPAR Index
  • Ability for New Owner Decrease Departmental Expenses, Increasing EBITDA
  • Eight Miles from UC Health Medical Center of the Rockies and the Outlets at Loveland

Exclusively Listed By

Hotel-Motel

La Quinta Inn & Suites Loveland

Listing Price: Request For Offer

Number of Rooms
69
RevPAR
$50
Gross SF
41,963
Year Built
2008

Investment Highlights

  • 69-Room, Interior Corridor, Midscale Hotel Built in 2008
  • Located Within the Fort Collins MSA Third Largest in Colorado
  • Outperforming the Market with 113% RevPAR Index
  • Ability for New Owner Decrease Departmental Expenses, Increasing EBITDA
  • Eight Miles from UC Health Medical Center of the Rockies and the Outlets at Loveland

Investment Overview

Marcus & Millichap's National Hospitality Group, as the exclusive representative of the seller, is pleased to present for sale to qualified investors the La Quinta Inn & Suites Loveland, a three-story, 69-room upper midscale hotel that was built in 2008 (the Property) and is located within the third largest MSA in Colorado, the Fort Collins MSA. A fee simple interest in the Property is offered on a call-for-offers basis and unencumbered by a management contract.

Recognized by Wyndham as the #1 La Quinta in the United States for 2020, this three-story, 69-room hotel presents a new investor the chance to acquire this well-maintained asset within a major MSA near a diverse set of transient, group and business demand drivers. The franchises change-of-ownership PIP is expected to be minimal as the current owner completed all PIP requirements per the existing franchise agreement in 2019. Property upside potential includes franchise conversion opportunities now or in the future given the quality of the asset, overperformance relative to its competitive set (RevPAR Penetration of 106% for FYE 2019 and 113% for TTM Aug-2020) and favorable liquidated damages given current market conditions. Major franchise companies with licenses available in the market includes Hilton (Tru, HomeWood Suites, Home2Suties, Hilton Garden Inn), Best Western and IHG. Additional upside through increasing the EBITDA margin is also possible, as a deeper look into departmental expenses will show current inefficiencies in operations.

Popularly known as the Sweetheart City, Loveland emits an abundance of economic drivers that boost the hospitality market. Home to the largest sculpture gardens in the country, the Benson Sculpture Garden, and the Budweiser Event Center, Lovelands huge regional attractions draw a large amount of tourists to the area. Business demand is generated by major employers in the area such as Anheuser Busch, Otter Products, and Colorado State University, with excellent shopping and restaurant options for visitors such as the Belgium Brewing Company, The Foundry, the Outlets at Loveland, and The Promenade Shops at Centerra just a short drive away. Notably, the Property is the only franchised hotel in Loveland within close proximity to Rocky Mountain National Park, and is therefore best-positioned hotel in the market to capture this demand.

The Property is currently encumbered by $4.2M of assumable CMBS debt with a 5.33% interest rate upon payment of a 1% assumption fee and satisfaction of other loan requirements. Loan documents will be available to qualified buyers upon review and approval of acceptable financial capacity and hospitality industry experience. Prospective buyers that intend to recapitalize the property with new debt upon acquisition must factor the cost of defeasance in the offer price.

Exclusively Listed By

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