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Hotel-Motel

Rodeway Inn Holdrege

420 Broadway St, Holdrege, NE 68949

Listing Price: $1,900,000

Cap Rate
10.86%
Number of Rooms
40
Price/Room
$47,500
Year Built
1998

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 Rodeway Inn in Holdrege, Nebraska. The Choice-branded Hotel is offered at $1,900,000 or $47,500 per key. This two-story, 40-room Hotel, located in Phelps County, is situated off Highway 6/34, just half a mile west of Burlington Street which is the main artery running north/south through the heart of Holdrege. The Property has a central location in Holdrege and is positioned to take advantage of the business and leisure travel in the area, which can be attributed to the demand created by Nebraska Prairie Museum and the Tassel-Phelps County Center for Performing Arts. A well-positioned Hotel, the Property has received the Choice Franchise Gold Award in 2020 and 2021. In 2019, the Hotel produced room revenues of over $750,000 and maintained a healthy cash flow, shown by its net operating income of 27.1 percent or $206,524. Currently, the Hotel is outperforming its STR competitive set RevPAR by 15.6 percent. While the occupancy of the Property exceeded the market average, the market ADR suggests an opportunity to increase rates and further increase RevPAR. This award-winning Hotel is expected to require a minimal change-of-ownership PIP upon sale. The Hotel is offered fee simple, unencumbered by a management contract or debt.

Investment Highlights

  • Priced at an Attractive 11.13 Percent Cap Rate Based on 2019 Performance
  • Offered Fee Simple, Unencumbered by a Management Contract or Debt
  • 40-Room, Interior Corridor, Economy Hotel Built in 1998
  • Priced Below Replace Cost at $47,500 Per Key
  • Twice Noted as a Choice Franchise Gold Award (2020 & 2021)
  • Minimum Change of Ownership PIP Anticipated
  • Outperforming the STR Market RevPAR by 15.6 Percent

Broker of Record

  • Jon Ruzicka

    First Vice President Investments

    (952) 852-9700

    License(s) NE: 20200223

    Nebraska

Listing Price: $1,900,000

Cap Rate
10.86%
Number of Rooms
40
Price/Room
$47,500
Year Built
1998

Investment Highlights

  • Priced at an Attractive 11.13 Percent Cap Rate Based on 2019 Performance
  • Offered Fee Simple, Unencumbered by a Management Contract or Debt
  • 40-Room, Interior Corridor, Economy Hotel Built in 1998
  • Priced Below Replace Cost at $47,500 Per Key
  • Twice Noted as a Choice Franchise Gold Award (2020 & 2021)
  • Minimum Change of Ownership PIP Anticipated
  • Outperforming the STR Market RevPAR by 15.6 Percent

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 Rodeway Inn in Holdrege, Nebraska. The Choice-branded Hotel is offered at $1,900,000 or $47,500 per key. This two-story, 40-room Hotel, located in Phelps County, is situated off Highway 6/34, just half a mile west of Burlington Street which is the main artery running north/south through the heart of Holdrege. The Property has a central location in Holdrege and is positioned to take advantage of the business and leisure travel in the area, which can be attributed to the demand created by Nebraska Prairie Museum and the Tassel-Phelps County Center for Performing Arts. A well-positioned Hotel, the Property has received the Choice Franchise Gold Award in 2020 and 2021. In 2019, the Hotel produced room revenues of over $750,000 and maintained a healthy cash flow, shown by its net operating income of 27.1 percent or $206,524. Currently, the Hotel is outperforming its STR competitive set RevPAR by 15.6 percent. While the occupancy of the Property exceeded the market average, the market ADR suggests an opportunity to increase rates and further increase RevPAR. This award-winning Hotel is expected to require a minimal change-of-ownership PIP upon sale. The Hotel is offered fee simple, unencumbered by a management contract or debt.

Broker of Record

  • Jon Ruzicka

    First Vice President Investments

    (952) 852-9700

    License(s): NE: 20200223

    Nebraska

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