Done deals

DSH Hotel Advisors
Comfort Suites Maingate East
Kissimmee, FL
Sale price: $22 million
Rooms: 198
Price per key: $111,111

“This was a unique buying opportunity—a seven-story, 198-room (all suites) resort near Disney World,” said Dennis S. Hopper, managing principal, DSH Hotel Advisors. “While the flag is Comfort Suites, the longtime owner and developer of the hotel really went all-out when developing the property, and it far exceeds typical Comfort Suites requirements, in my opinion. The close proximity to Old Town and Fun Spot Theme Park are also great amenities for the hotel’s guests. We had 175 signed confidentiality agreements from qualified buyers expressing interest in the investment opportunity and 16 offers were generated from qualified buyers.”

Kabani Hotel Group
Best Western Ormond Beach
Ormond Beach, FL
Sale price: $16.5 million
Rooms: 147
Price per key: $112,244

“Through our team’s marketing process, we were able to generate multiple offers on this deal, allowing us to create a market and maximize the seller’s final price and returns,” said Ahmed Kabani, founder/CEO, Kabani Hotel Group. “After considering all the candidates, ownership decided to move forward with an institutional level buyer from the Northeast. The buyers plan to convert the property to a Spark by Hilton and will spend more than $30,000 per key on renovations in order to do so. At the time of sale, the property was only doing $3.2 million in revenues. This sale is the highest price per key sale in the history of Ormond Beach, FL.”

Huff, Niehaus & Associates Inc.
Holiday Inn Express Horse Cave
Horse Cave, KY
Sale price: $8.5 million
Rooms: 101
Price per key: $84,158
Seller: Express 65 LLC
Buyer: HC Hotel Inc.

“This transaction closed in December 2023,” said H. Brandt Niehaus, president, Huff, Niehaus & Associates Inc. “The seller, Express 65 LLC, a one-hotel owner, sold the 101-key hotel to another IHG franchisee. After two reasonable offers fell through for the inability to obtain acceptable financing, HC Hotel Inc. of Elizabethtown, KY, received the financing necessary to close the deal. The seller has completed the Formula Blue PIP, so the hotel had very little improvements for an easy ownership transfer.  At that price, it was an exceptional acquisition for the new owner.”

Crystal Investment Property
Wingate Inn and Suites at the Spokane Airport
Spokane, WA
Sale price: $7.5 million
Rooms: 83
Price per key: 90,361

“The challenge with this property was that the airport lease needed to be extended and in order to extend the lease, the airport needed FAA approval,” said Joseph Kennedy, president, Crystal Investment Property LLC. “The property was in contract with a failed transaction due to airport delays and lender requirements. The property was experiencing excellent cash flow and business was recovering strongly from the COVID travel impact. However, the property needed a full PIP. We worked with an associate in Las Vegas, who helped the buyer overcome hurdles in the process and through the airport delays.”

Alpine Realty Capital
Comfort Inn and Suites Mt. Pleasant, MI
Mt. Pleasant, MI
Rooms: 137
“The sellers are principals in a company that had been based in this community for more than 50 years, and this was their flagship operation,” said Ed Walsh, president, Alpine Realty Capital. “We were not allowed to broadly market the property, but rather had to target no more than eight buyers. It was further complicated because the property includes a more than 10,000-sq.-ft. conference center, so all buyers had to be vetted for their ability to maintain the standards of the food and beverage operation. The hotel is situated on ground leased from Central Michigan University, and the university’s board of regents had to approve the buyer and the purchase in order for the lease to be transferred. The property included a full-service casual restaurant that was leased to a third party, so the lease had to be transferred to the buyer. The buyer utilized the USDA B&I Rural Development Loan Program, adding to the time necessary for closing.”

CAS Hotel Advisors
Holiday Inn Express & Suites Dinwiddie, VA
Dinwiddie, VA
Sale price: $9 million
Rooms: 67
Price per key: $134,328
Seller: Maruti, Inc.
Buyer: Shankar Laxmi LLC

“This particular property is located in a tertiary market in Virginia,” said Stephen Albis, principal, CAS Hotel Advisors. “The seller fully completed the renovations of the property to the IHG Formula Blue Design standards, and we received multiple offers for the asset. We were able to secure an out-of-state buyer for the hotel and assisted the buyer to secure an extremely attractive conventional acquisition loan, which included a fixed, seven-year-term interest rate.”

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