Hotel-Motel

Stefan's R&R Resort

Listing Price: $1,200,000

Cap Rate
3.28%
Number of Rooms
24
RevPAR
$13
Gross SF
15,667
Price/Room
$50,000
RRM
13.26
Price/Gross SF
$76.59
Year Built
1950

Investment Overview

The Stefan's R&R Resort is a lakeside retreat that has been personally ran by its previous owner for the past 25 years. Over that period of time, it has received constant maintenance with new bed mattresses, furniture, new asphalt and repairs for each cottage. Located in the northern Michigan region, the surrounding nature and lake shore make this property suitable for "Glamping." Glamping is a popular trend standing for glamorous camping or a more comfortable version of outdoor vacations, this allows Stefan's R&R to attract a significant niche community. This resort is a very popular option for weddings, hunting season, and other nature themed outdoor activities. While only being operational for 4 months of the year, this property showed strong performance with its 2018 Revenue and Net Operating Income at $90,500 and $39,300 respectively. The Net Operating Income margin for 2016, 2017, and 2018 are 44.7%, 32.2%, and 43.4%, by continuing this management, this property can continue to see significantly more efficient financials than traditional hotels. Additionally, this property includes a 2 story, 4 Bedroom Single Family Home currently being utilized as a Primary Residence and Main Office for operations.
There is still significant upside potential in this property as its online presence could benefit from website and vacation services like AirBnB, Hotels.com, expedia.com, and more. By keeping the resort open for longer, during the spring and fall seasons, there is more income potential to be realized.

Investment Highlights

  • 25 rooms with 300 feet of beach front
  • 3.19 Acres
  • Unique mix of luxury beachfront suites and cottages
  • Includes a recreational building for weddings and other events

Exclusively Listed By

Listing Price: $1,200,000

Cap Rate
3.28%
Number of Rooms
24
RevPAR
$13
Gross SF
15,667
Price/Room
$50,000
RRM
13.26
Price/Gross SF
$76.59
Year Built
1950

Investment Highlights

  • 25 rooms with 300 feet of beach front
  • 3.19 Acres
  • Unique mix of luxury beachfront suites and cottages
  • Includes a recreational building for weddings and other events

Investment Overview

The Stefan's R&R Resort is a lakeside retreat that has been personally ran by its previous owner for the past 25 years. Over that period of time, it has received constant maintenance with new bed mattresses, furniture, new asphalt and repairs for each cottage. Located in the northern Michigan region, the surrounding nature and lake shore make this property suitable for "Glamping." Glamping is a popular trend standing for glamorous camping or a more comfortable version of outdoor vacations, this allows Stefan's R&R to attract a significant niche community. This resort is a very popular option for weddings, hunting season, and other nature themed outdoor activities. While only being operational for 4 months of the year, this property showed strong performance with its 2018 Revenue and Net Operating Income at $90,500 and $39,300 respectively. The Net Operating Income margin for 2016, 2017, and 2018 are 44.7%, 32.2%, and 43.4%, by continuing this management, this property can continue to see significantly more efficient financials than traditional hotels. Additionally, this property includes a 2 story, 4 Bedroom Single Family Home currently being utilized as a Primary Residence and Main Office for operations.
There is still significant upside potential in this property as its online presence could benefit from website and vacation services like AirBnB, Hotels.com, expedia.com, and more. By keeping the resort open for longer, during the spring and fall seasons, there is more income potential to be realized.

Exclusively Listed By

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