- 79-Room, Select-Service, Upscale Hotel Built in 2011
- Completely Remodeled During 2018
- Less than Two Miles from William P. Hobby Airport
- Well Positioned with Excellent Visibility from Interstate 45
- Hotel Boasting an Impressive 31.1 Percent Net Operating Income
- Attractive Assumable CMBS Loan with Competitive Interest Rates
Marcus & Millichap’s National Hospitality Group, as an exclusive representative of the seller, is pleased to present the Four Points by Sheraton Houston Hobby Airport. The Marriott-branded hotel is priced on a Request for Offers basis. Constructed in 2011, the subject property is located at 8720 Gulf Freeway along the Interstate 45 corridor, two miles from the William P. Hobby Airport, and provides great visibility for transient business.
This four-story, 79-room hotel presents a new owner the opportunity to acquire a fully renovated asset within the Houston-The Woodlands-Sugar Land MSA. This investment opportunity offers upside through revenue growth resulting from its recently refreshed guest rooms and public area. The hotel is well-equipped with a restaurant, bar, outside pool, and meeting facilities.
Although the Four Points by Sheraton Houston Hobby Airport underwent a major renovation during the fiscal year 2018, it still managed to generate approximately $1.7M in top-line revenue, resulting in a net operating income of approximately 31.1 percent of overall revenues, which equates to roughly $527,181 before debt service. The offering is presented Fee Simple and unencumbered by third-party management and debt.
The expenses in the profit and loss statements include provisions for a 3 percent management fee and 4 percent reserves for capital replacement.
The Four Points by Sheraton Houston Hobby Airport is a 79-room, upscale, select-service hotel. The Marriott branded hotel offers room amenities such as pillowtop mattresses, a work desk with ergonomic chair and printer, and flat-screen television. Also, offered is Cajun dining at 747 Restaurant & Bar located in the lobby and a Sundry convenience store. In addition, an outdoor pool and whirlpool, a 1,420-square foot meeting room, a 132-square foot board room, a fitness center, and a full-service business center is offered to guests.
Houston, Texas is located in the southeastern part of the state and resides in Harris county. The hotel is located at 8720 Gulf Freeway and sits adjacent to Interstate 45 which is a major expressway in the region. William P. Hobby Airport is in close proximity to the Four Points by Sheraton Houston Hobby and hosted over 13 million passengers in 2017. They also achieved at least a four-star rating in 24 different categories assessed by Skytrax. The Houston Medical Center (12.1 miles) is a major point of interest in the region and is the leader in collaborative medicine which generates room demand for patients and practitioners. It is the eighth largest business district in the United States with 50 million developed square feet, three billion dollars in construction projects underway and serving 10 million patients per year. Recently, plans were revealed for a $125 million UTHealth psychiatric hospital to be added to the campus that will offer support services, research and education spaces, communal dining facilities, and several additional features. Leisure travelers are attracted towards the city’s multiple professional athletic teams at close by facilities; some include the Houston Rockets’ Toyota Center (10.8 miles) and the Houston Texans’ NRG Park (13.4 miles).