Hotel-Motel

Baymont Inn & Suites Calumet City

510 East End Ave, Calumet City, IL 60409

Listing Price: $2,795,000

Cap Rate
9.68%
Number of Rooms
79
RevPAR
$38
Gross SF
58,620
Price/Room
$35,380
RRM
2.57
Price/Gross SF
$47.68
Year Built
2001

Investment Overview

Marcus & Millichaps National Hospitality Group, as an exclusive representative of the seller, is pleased to present for sale to qualified investors the Baymont Inn & Suites Chicago Calumet City. The Wyndham-branded hotel is priced at $2,795,000 or $35,380 price per room; this represents a 2.57 times multiple on April 2020 trailing 12-month room revenues. An established property, constructed in 2001, is located near the Highway 83 and Interstate 94 interchange.

Priced at a 9.7 percent capitalization rate, this three-story, 79-room hotel presents a new investor the opportunity to acquire a fully-stabilized asset within the Chicago metropolitan statistical area (MSA). This well-maintained hospitality asset is being sold at a price below replacement cost. An investor, looking to act as an owner-operator, can maximize profits through a reduction in management costs for the property. The hotel is well-equipped with an indoor pool, spa tub, fitness center, and rentable meeting rooms.

Operationally, the hotel achieved $1,088,510 in room revenue, resulting in a net-operating income of approximately 24.9 percent of total revenue; this translates to about $270,695 before debt service. Although the property is operating well, a greater focus on increasing the hotels operational efficiency can greatly benefit a new investor that can see an additional boost in hotel performance and an increase in the hotels EBITDA. Hotel RevPAR comparatively to the market competitive set has averaged 95 percent index over the past four periods.

The expenses include provisions for a four percent reserve for capital replacement. The hotel is offered fee simple, unencumbered by a management contract and debt.

Investment Highlights

  • 79-Room, Interior Corridor, Midscale Hotel Built in 2001
  • Less than Seven Miles from Purdue University Northwest - Hammond
  • Priced Significantly Below Replacement Cost at $35,380 Per Key
  • Well Positioned with Excellent Visibility from Interstate 94
  • Hotel RevPAR Penetration of 95 Percent Compared to the Competitive Set
  • Operational Upside for Prospective Hands-On Owner-Operator Investor

Exclusively Listed By

Hotel-Motel

Baymont Inn & Suites Calumet City

Listing Price: $2,795,000

Cap Rate
9.68%
Number of Rooms
79
RevPAR
$38
Gross SF
58,620
Price/Room
$35,380
RRM
2.57
Price/Gross SF
$47.68
Year Built
2001

Investment Highlights

  • 79-Room, Interior Corridor, Midscale Hotel Built in 2001
  • Less than Seven Miles from Purdue University Northwest - Hammond
  • Priced Significantly Below Replacement Cost at $35,380 Per Key
  • Well Positioned with Excellent Visibility from Interstate 94
  • Hotel RevPAR Penetration of 95 Percent Compared to the Competitive Set
  • Operational Upside for Prospective Hands-On Owner-Operator Investor

Investment Overview

Marcus & Millichaps National Hospitality Group, as an exclusive representative of the seller, is pleased to present for sale to qualified investors the Baymont Inn & Suites Chicago Calumet City. The Wyndham-branded hotel is priced at $2,795,000 or $35,380 price per room; this represents a 2.57 times multiple on April 2020 trailing 12-month room revenues. An established property, constructed in 2001, is located near the Highway 83 and Interstate 94 interchange.

Priced at a 9.7 percent capitalization rate, this three-story, 79-room hotel presents a new investor the opportunity to acquire a fully-stabilized asset within the Chicago metropolitan statistical area (MSA). This well-maintained hospitality asset is being sold at a price below replacement cost. An investor, looking to act as an owner-operator, can maximize profits through a reduction in management costs for the property. The hotel is well-equipped with an indoor pool, spa tub, fitness center, and rentable meeting rooms.

Operationally, the hotel achieved $1,088,510 in room revenue, resulting in a net-operating income of approximately 24.9 percent of total revenue; this translates to about $270,695 before debt service. Although the property is operating well, a greater focus on increasing the hotels operational efficiency can greatly benefit a new investor that can see an additional boost in hotel performance and an increase in the hotels EBITDA. Hotel RevPAR comparatively to the market competitive set has averaged 95 percent index over the past four periods.

The expenses include provisions for a four percent reserve for capital replacement. The hotel is offered fee simple, unencumbered by a management contract and debt.

Exclusively Listed By

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