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Hotel-Motel

Econo Lodge Falfurrias

2116 Highway 281, Falfurrias, TX 78355

Listing Price: $1,150,000

Cap Rate
3.81%
Number of Rooms
32
RevPAR
$29
Price/Room
$35,938
RRM
3.39
Year Built
1995

Investment Overview

As the exclusive representative of the seller, Marcus & Millichap's National Hospitality Division is pleased to present for sale to qualified investors the Econo Lodge Falfurrias HWY 281 (‘Hotel’ or ‘Property’). The Choice Hotels International-branded Hotel is offered at $1,150,000 or $35,938 per key. Falfurrias, Texas is located 85 miles north from the US-Mexico Border and 60 miles southwest of Corpus Christi, Texas. The Property is located off Highway 281, a major north-south corridor that runs from the Rio Grande Valley to San Antonio, Texas. Ideally positioned immediately after the Highway 281 off-ramp, the Property is easily accessible and has excellent visibility from the thoroughfare. This opportunity presents a new investor the chance to acquire a well-maintained asset at a discount to replacement costs. The Hotel ownership has recently renovated the property and has made improvements to the interior, exterior and has updated select case goods. After completing renovations in 2019, the Hotel achieved the Choice Hotel Gold Award in 2019, 2020, and 2021. Operationally, the Hotel has increased room revenues year-over-year and recorded about $339,500 through the twelve-months ending June 2021. An experienced operator can generate more operating income by implementing advanced cost control strategies, improving overall value. Current expenses include provisions for a four percent capital replacement reserve.

Investment Highlights

  • 32-Room, Exterior-Corridor, Economy Hotel Recently Renovated in 2019
  • Located within 90 Miles of Corpus Christi, McAllen & Laredo, TX
  • Priced Below Replacement Cost at $35,938 Per Key
  • Presented the Choice Hotel Gold Award in 2019, 2020, and 2021
  • Recently Renovated - Minimal PIP Expected at Sale
  • Implementation of Improved Revenue Management Will Increase Overall Profitability
  • Onsite Owner's Apartment with One Bedroom and One Bathroom

Exclusively Listed By

Listing Price: $1,150,000

Cap Rate
3.81%
Number of Rooms
32
RevPAR
$29
Price/Room
$35,938
RRM
3.39
Year Built
1995

Investment Highlights

  • 32-Room, Exterior-Corridor, Economy Hotel Recently Renovated in 2019
  • Located within 90 Miles of Corpus Christi, McAllen & Laredo, TX
  • Priced Below Replacement Cost at $35,938 Per Key
  • Presented the Choice Hotel Gold Award in 2019, 2020, and 2021
  • Recently Renovated - Minimal PIP Expected at Sale
  • Implementation of Improved Revenue Management Will Increase Overall Profitability
  • Onsite Owner's Apartment with One Bedroom and One Bathroom

Investment Overview

As the exclusive representative of the seller, Marcus & Millichap's National Hospitality Division is pleased to present for sale to qualified investors the Econo Lodge Falfurrias HWY 281 (‘Hotel’ or ‘Property’). The Choice Hotels International-branded Hotel is offered at $1,150,000 or $35,938 per key. Falfurrias, Texas is located 85 miles north from the US-Mexico Border and 60 miles southwest of Corpus Christi, Texas. The Property is located off Highway 281, a major north-south corridor that runs from the Rio Grande Valley to San Antonio, Texas. Ideally positioned immediately after the Highway 281 off-ramp, the Property is easily accessible and has excellent visibility from the thoroughfare. This opportunity presents a new investor the chance to acquire a well-maintained asset at a discount to replacement costs. The Hotel ownership has recently renovated the property and has made improvements to the interior, exterior and has updated select case goods. After completing renovations in 2019, the Hotel achieved the Choice Hotel Gold Award in 2019, 2020, and 2021. Operationally, the Hotel has increased room revenues year-over-year and recorded about $339,500 through the twelve-months ending June 2021. An experienced operator can generate more operating income by implementing advanced cost control strategies, improving overall value. Current expenses include provisions for a four percent capital replacement reserve.

Exclusively Listed By

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