- 53-Room Interior Corridor Three-Story, Built in 2006
- Priced at 3.39 Times 2020 Room Revenue
- Two-Bedroom & Two-Bathroom Owners Apartment
- Recently Completed Renovation to the Property
- High Cash Flow – Priced at 13.14% Cap Rate
Marcus & Millichap’s National Hospitality Group, as an exclusive representative of the seller, is pleased to present for sale to qualified investors the Econo Lodge Inn & Suites Beaumont. The Choice Hotels International-branded hotel is priced at $3,400,000 or $64,151 Price Per Room; this represents a 3.39 times multiple on the 2020 December trailing 12-month room revenues. The subject property, constructed in 2006, is located along 11th Street, at the interchange of Interstate 10 and Highway 96. Additionally, the hotel is ADA compliant and includes accommodations such as a fitness center, pool, and an onsite laundry facility.
This three-story, 53-room hotel presents a new investor the opportunity to acquire a cash flowing hospitality asset in Beaumont–Port Arthur MSA, located less than an hour from Greater Houston.
Since 2018 the property RevPAR has grown more than 23 percent and was unaffected in the 2020 downturn achieving a room revenue greater than $1,000,000. Operationally, the hotel has maintained healthy cashflow with a pass-through Net Operating Income of approximately 44 percent of total revenue after debt service. The Net Operating Income after interest, taxes, depreciation, and amortization equates to more than $446,000.
Current expenses include provisions for a four percent capital replacement reserve. The subject property is Fee Simple real estate, unencumbered by a management contract or debt.
The Econo Lodge Inn & Suites Beaumont is a 53-room, two-story, interior corridor hotel built in 2006. Well-equipped with numerous common area and guest room amenities, this limited-service, economy hotel offers guest rooms that come furnished with a microwave, refrigerator, work desk, and flat-screen television; common area amenities the hotel has to offer consist of an outdoor pool, fitness center, guest laundry facilities, and wireless internet.
Beaumont, Texas is a city located in Jefferson County in the eastern region of the state, 60 miles west of Lake Charles and 85 miles east of Houston. The Econo Lodge Inn & Suites Beaumont is superbly positioned just off Interstate 10, along 11th Street. With the city’s major employers and popular revenue generators near the property, this sought-after hotel benefits from many key industries of the city which include health care & social assistance, retail trade, and educational services. Memorial Hermann Baptist Hospital and Helena Laboratories, two of the city’s largest employers located five or less miles from the hotel, are prime revenue drivers for the surrounding area. Other major employers that are responsible for a significant portion of the workforce include Christus St Elizabeth Hospital (1.2 miles) and Exxon Mobil Oil Corp. (5.2 miles). Revenue generators in the area, like Parkdale Mall (3.6 miles) and Beaumont Municipal Airport (7.3 miles) help bring additional revenue to the hotel through an increase in transient business. Extra demand drivers for the city include Ford Park Entertainment Complex (7.9 miles) and Lamar University (5.8 miles).