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Hotel-Motel

Suburban Extended Stay Hotel Alamogordo

2500 North White Sands Blvd, Alamogordo, NM 88310

Listing Price: $2,250,000

Cap Rate
9.14%
Number of Rooms
58
RevPAR
$37
Price/Room
$38,793
Year Built
2011

Investment Overview

As the exclusive representative of the seller, Marcus & Millichap's National Hospitality Group is pleased to present for sale to qualified investors the Suburban Extended - Stay Hotel in Alamogordo, New Mexico. The Choice Hotels International-branded Hotel is offered at $2,250,000 or $38,793 per key. The Hotel sits on 0.97 acres and is positioned with excellent visibility off Highway 54 and is poised to take advantage of several leisure and business demand generators. New Mexico State University - Alamogordo is located less than three miles from the Property and boasts many scholastic events throughout the year and the Property is less than six miles from the Alamogordo-White Sands Regional Airport. Alamogordo is also home to the Holloman Air Force Base and White Sands National Park. In 2019, the subject Property has recorded total revenues over $625,000 and maintained a healthy cash flow shown by a net operating income averaging over 21 percent of total revenues. The Hotel managed to record room revenues of $774,800 over the trailing twelve - month period ending July 2021 and achieved an efficient net operating income of about 26 percent of total revenues, which translates about $205,750. Compared to the STR market comp set’s RevPAR, the asset has continued to sustain a median RevPAR shown by the recorded 96 percent penetration in 2019. A new owner can amplify returns through strategic cost control and expense management. Current expenses include provisions for a four percent capital replacement reserve. The Hotel is offered fee simple, unencumbered by a management contract or debt.

Investment Highlights

  • Priced Below Replacement Cost at $38,793 Per Key
  • 58-Room, Exterior Corridor, Choice-Branded Hotel Built in 2011
  • Ability for Hands-On-Owner-Operator to Decrease Expenses & Increase Net Operating Income
  • Three Miles from New Mexico State University – Alamogordo and Six Miles from Alamogordo-White Sands Regional Airport
  • Unencumbered by a Management Contract or Debt

Exclusively Listed By

Broker of Record

  • Matt Reeves

    Senior Associate

    (505) 445-6333

    License(s) NM: 19583

    New Mexico

Financing By

Hotel-Motel

Suburban Extended Stay Hotel Alamogordo

Listing Price: $2,250,000

Cap Rate
9.14%
Number of Rooms
58
RevPAR
$37
Price/Room
$38,793
Year Built
2011

Investment Highlights

  • Priced Below Replacement Cost at $38,793 Per Key
  • 58-Room, Exterior Corridor, Choice-Branded Hotel Built in 2011
  • Ability for Hands-On-Owner-Operator to Decrease Expenses & Increase Net Operating Income
  • Three Miles from New Mexico State University – Alamogordo and Six Miles from Alamogordo-White Sands Regional Airport
  • Unencumbered by a Management Contract or Debt

Investment Overview

As the exclusive representative of the seller, Marcus & Millichap's National Hospitality Group is pleased to present for sale to qualified investors the Suburban Extended - Stay Hotel in Alamogordo, New Mexico. The Choice Hotels International-branded Hotel is offered at $2,250,000 or $38,793 per key. The Hotel sits on 0.97 acres and is positioned with excellent visibility off Highway 54 and is poised to take advantage of several leisure and business demand generators. New Mexico State University - Alamogordo is located less than three miles from the Property and boasts many scholastic events throughout the year and the Property is less than six miles from the Alamogordo-White Sands Regional Airport. Alamogordo is also home to the Holloman Air Force Base and White Sands National Park. In 2019, the subject Property has recorded total revenues over $625,000 and maintained a healthy cash flow shown by a net operating income averaging over 21 percent of total revenues. The Hotel managed to record room revenues of $774,800 over the trailing twelve - month period ending July 2021 and achieved an efficient net operating income of about 26 percent of total revenues, which translates about $205,750. Compared to the STR market comp set’s RevPAR, the asset has continued to sustain a median RevPAR shown by the recorded 96 percent penetration in 2019. A new owner can amplify returns through strategic cost control and expense management. Current expenses include provisions for a four percent capital replacement reserve. The Hotel is offered fee simple, unencumbered by a management contract or debt.

Exclusively Listed By

Broker of Record

  • Matt Reeves

    Senior Associate

    (505) 445-6333

    License(s): NM: 19583

    New Mexico

Financing By

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