BEST WESTERN PLUS SARATOGA SPRINGS...Best Western Hotels & Resorts is a leader in hospitality with a...
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BEST WESTERN PLUS SARATOGA SPRINGS OFFERING MEMORANDUM
Transcript of BEST WESTERN PLUS SARATOGA SPRINGS...Best Western Hotels & Resorts is a leader in hospitality with a...
BEST WESTERN PLUS SARATOGA SPRINGS
OFFERING MEMORANDUM
NON-ENDORSEMENT & DISCLAIMER NOTICE
CONFIDENTIALITY & DISCLAIMERThe information contained in the following Marketing Brochure is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Marcus & Millichap and should not be made available to any other person or entity without the written consent of Marcus & Millichap. This Marketing Brochure has been prepared to provide summary, unverified information to prospective purchasers, and to establish only a preliminary level of interest in the subject property. The information contained herein is not a substitute for a thorough due diligence investigation. Marcus & Millichap has not made any investigation, and makes no warranty or representation, with respect to the income or expenses for the subject property, the future projected financial performance of the property, the size and square footage of the property and improvements, the presence or absence of contaminating substances, PCB’s or asbestos, the compliance with State and Federal regulations, the physical condition of the improvements thereon, or the financial condition or business prospects of any tenant, or any tenant’s plans or intentions to continue its occupancy of the subject property. The information contained in this Marketing Brochure has been obtained from sources we believe to be reliable; however, Marcus & Millichap has not verified, and will not verify, any of the information contained herein, nor has Marcus & Millichap conducted any investigation regarding these matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must take appropriate measures to verify all of the information set forth herein.
Marcus & Millichap is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2018 Marcus & Millichap. All rights reserved.
NON-ENDORSEMENT NOTICEMarcus & Millichap is not affiliated with, sponsored by, or endorsed by any commercial tenant or lessee identified in this marketing package. The presence of any corporation’s logo or name is not intended to indicate or imply affiliation with, or sponsorship or endorsement by, said corporation of Marcus & Millichap, its affiliates or subsidiaries, or any agent, product, service, or commercial listing of Marcus & Millichap, and is solely included for the purpose of providing tenant lessee information about this listing to prospective customers.
ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY.PLEASE CONSULT YOUR MARCUS & MILLICHAP AGENT FOR MORE DETAILS.
JERRY SWONFirst Vice President Investments
National Hospitality GroupManhattan Office
Direct: 212-430-5219Mobile: 908-625-6934
DANIEL ZAGORIASenior Associate
National Hospitality GroupManhattan Office
Direct: 212-430-5211Mobile: 404-401-6006
TIM MCCAFFREYAssociate
National Hospitality GroupManhattan Office
Direct: 212-430-5197Mobile: 516-510-3075
CAMERON PIERCEAssociate
National Hospitality GroupManhattan Office
Direct: 646-805-1437Mobile: 631-681-8779
BRIAN WHELANAssociate
National Hospitality GroupManhattan Office
Direct: 646-805-1441Mobile: 201-966-5918
BEST WESTERN PLUSSARATOGA SPRINGS
3291 S BROADWAY
SARATOGA SPRINGS, NEW YORK 12866
EXCLUSIVELY LISTED BY:
O F F I C E S N A T I O N W I D E A N D T H R O U G H O U T C A N A D A
WWW.MARCUSMILLICHAP.COM
01 EXECUTIVE SUMMARYOffering Summary • Vital Data • Annualized Operating Data •
Executive Summary • Investment Overview • Summary Of Terms
TABLE OF CONTENTS
EXCLUSIVELY LISTED BY
07 PROPERTY DESCRIPTIONFeatures / Amenities • Local / Regional Map • Area Attractions
13 FINANCIAL OVERVIEWMarket Trend • RevPAR Comparison • Profit & Loss Detail • Five-Year Cash Flow Pro Forma • Five-Year IRR
22 COMPETITVE PROPERTY SET Competitve Properties Map • Competitve Properties
25 MARKET OVERVIEWDemographic Summary • Market Overview
BEST WESTERN PLUSSARATOGA SPRINGS
3291 S BROADWAY
SARATOGA SPRINGS, NEW YORK 12866
This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, as-sumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate
Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2018 Marcus & Millichap ACT ID Z0332392
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EXECUTIVESUMMARY
BEST WESTERN PLUS SARATOGA SPRINGS
3291 S BROADWAY,SARATOGA SPRINGS, NEW YORK 12866
OFFERING SUMMARY
Purchase Price $5,750,000
Property Improvement Plan ($5,000 / Room Estimate) $365,000
Total Investment $6,115,000
Down Payment $1,528,750 / 25%
Total Number of Rooms 73
Occupancy 40.9%
ADR $136.32
RevPAR $55.77
Year Built 2005
Number of Stories 2
Type of Ownership Fee Simple
VITAL DATA
Cap Rate - Actual 9.4%
Cap Rate - Total Investment 8.9%
Cap Rate - Pro Forma 9.1%
Room Revenue Multiplier 3.9
Room Revenue Multiplier- Pro Forma 4.1
Price/Room - Total Investment $83,767
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ANNUALIZED OPERATINGDATA
ANNUALIZED OPERATING DATA
INCOME 2017 % OF GR PRO FORMA % OF GR
Room Revenue $1,486,110 100.0% $1,515,981 100.0%
Gross Revenue $1,486,110 100.0% $1,515,981 100.0%
Total Expenses $944,245 63.5% $959,364 63.3%
Net Operating Income $541,865 36.5% $556,617 36.7%
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INVESTMENT OVERVIEW
Marcus & Millichap has been chosen to exclusively market for sale the Best Western Plus Saratoga Springs, a two-story 73-room conveniently located off Route 9 and Interstate 87. The hotel is located approximately Six Miles from Saratoga County Airport and 24 Miles from Albany International Airport. Amenities include: fitness center, complimentary WiFi, laundry facility, elevator, and complimentary breakfast. Guest rooms feature a desk, television, microwave, refrigerator, daily housekeeping, iron and ironing board, hair dryer, and coffee maker.
INVESTMENT SUMMARYThe Best Western Plus Saratoga Springs represents the opportunity to acquire a well-maintained hotel located in a stable market. Our Pro Forma analysis assumes an investor will increase operating efficiencies through cost management and modest revenue growth.
TERMS OF SALEThe Best Western Plus Saratoga Springs is offered at $5,750,000 based on a capitalization rate of 9.4 percent. Historic operating documentation and third party reports may be found in the online document data portal.
FRANCHISEBest Western Hotels & Resorts is a leader in hospitality with a global network of over 4,100 in over 100 countries and territories. In 2014 and 2015 Business Travel News named Best Western Plus hotels the number one upper midprice hotel brand’. More than 26 million travelers are mem-bers of the brand’s award-winning loyalty program Best Western Rewards; named one of the top three hotel loyalty programs by United States News & World Report for three consecutive years. AAA has recognized Best Western as partner of the year for seven years in a row.
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INVESTMENT HIGHLIGHTS
► Conveniently Located off Route 9 and Interstate 87
► Approximately Six Miles from Saratoga County Airport and 24 Miles from Albany International Airport
► Proximity to Area Attractions - Skidmore College, Albany-Saratoga Speedway, SUNY University at Albany, Round Lake, Canfield Casino, Albany Medical Center, Saratoga National Golf Course, SUNY Empire College, Rensselaer Polytechnic Institute
INTEREST OFFEREDFee simple interest in the Best Western Plus Saratoga Springs, a 73-room hotel located at 3291 S Broadway Saratgoa Springs, New York 12866.
PROPERTY TOURSProspective purchasers are encouraged to visit the subject property prior to submitting offers. However, all property tours must be arranged with the Marcus & Millichap listing agents. Please do not contact the tenants, on-site management or staff without prior approval.
PROPOSED FINANCING
FINANCING
Loan Amount $4,586,250
Loan Type Proposed New
Interest Rate 6.20%
Amortization 25 Years
Loan information is time sensitive and subject to change. Contact your local Marcus & Millichap Capital Corporation representative. B
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This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, as-sumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate
Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2018 Marcus & Millichap ACT ID Z0332392
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PROPERTY DESCRIPTION
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FEATURES AND
AMENITIES
► Complimentary WiFi
► Complimentary Parking
► Complimentary Breakfast
► Outdoor Pool
► Laundry Facility
► Fitness Center
► Complimentary Newspaper
► Computer Station
► Elevator
► Complimentary Coffee/Tea
► Convenience Store
► Business Center
► Meeting Room
COMMON AREA FEATURES
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► Complimentary WiFi
► Television
► Premium Cable Channels
► Coffee / Tea Maker
► Iron / Ironing Board
► Hair Dryer
► Desk
► Telephone
► Microwave
► Refrigerator
► Daily Housekeeping
GUEST ROOM AMENITIES
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MAPPING
LOCAL MAP REGIONAL MAP
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AREA ATTRACTIONSAREA ATTRACTIONS DISTANCE
Saratoga Automobile Museum 2.4 Miles
SUNY Empire State College 2.5 Miles
Canfield Casino 2.6 Miles
Saratoga Performing Arts Center 2.6 Miles
Malta Drive-In Theatre 2.7 Miles
Children’s Museum at Saratoga 2.9 Miles
Saratoga Race Course 2.9 Miles
Yaddo Gardens 3.9 Miles
Albany-Saratoga Speedway 3.9 Miles
Skidmore College 4.1 Miles
Saratoga National Golf Course 7.2 Miles
Schaghticoke Fairgrounds 17.1 Miles
Ellis Hospital 19.8 Miles
West Mountain Ski Resort 25.6 Miles
MAJOR EMPLOYERS IN MARKET
Albany Saratoga SpeedwaySaratoga Race CourseCanfield Casino
COMPANY LOCAL EMPLOYEES
GE 10,226
O’Neil 3,900
Walmart 2,728
Price Chopper Supermarkets 2,530
Glens Falls Hospital 2,398
Knolls Atomic Power Laboratory 2,200
Worldwide Digital Company LLC 2,200
Great Escape Amusenent Park 1,900
Keena Staffing Services 1,800
Fishkill Correctional Facility 1,000
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This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, as-sumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate
Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2018 Marcus & Millichap ACT ID Z0332392
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FINANCIALANALYSIS
BEST WESTERN PLUS SARATOGA SPRINGS
MARKET TRENDBE
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REVPAR COMPARISON
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PROFIT AND LOSS SUMMARYBE
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5-YEAR CASH FLOW PRO FORMA
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This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, as-sumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate
Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2018 Marcus & Millichap ACT ID Z0332392
This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, as-sumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate
Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2018 Marcus & Millichap ACT ID Z0332392
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EXECUTIVESUMMARY
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COMPETITIVE PROPERTY SET
BEST WESTERN PLUS
SARATOGA SPRINGS
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COMPETITIVE PROPERTY SET
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Hotel City, State Rooms Open
Best Western Plus Saratoga Springs Saratoga Springs, NY 73 2005
1 Holiday Inn Saratoga Springs Saratoga Springs, NY 168 1964
2 Hilton Garden Inn Saratoga Springs Saratoga Springs, NY 112 1999
3 Comfort Inn & Suites Saratoga Springs Saratoga Springs, NY 83 2002
4 Fairfield Inn & Suite Saratoga Malta Malta, NY 114 2004
5 Hyatt Place Saratoga Malta Malta, NY 120 2008
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2
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5
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This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, as-sumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate
Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2018 Marcus & Millichap ACT ID Z0332392
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MARKET OVERVIEW
BEST WESTERN PLUS SARATOGA SPRINGS
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DEMOGRAPHICS HIGHLIGHTS
11,571
$50,017 $301,256
POPULATION STATISTIC
INCOME STATISTIC HOUSING STATISTIC
EMPLOYMENT BY OCCUPATIONS
III
POPULATION 5 MILE 10 MILES 25 MILES
2022 ProjectionTotal Population
50,419 106,572 663,063
2018 EstimateTotal Population
48,538 101,694 647,069
2010 CensusTotal Population
47,412 98,865 637,879
2000 CensusTotal Population
43,006 88,948 600,814
Daytime PopulationTotal Population
58,220 97,031 625,006
HOUSEHOLDS 1 MILE 10 MILES 25 MILES
2022 ProjectionTotal Households
21,245 43,000 271,224
2018 EstimateTotal Households
20,268 40,754 263,033
Average (Mean) Household Size 2.30 2.42 2.39
2010 CensusTotal Households
19,760 39,499 259,360
2000 CensusTotal Households
17,069 34,174 238,323
HOUSING UNITS 5 MILE 10 MILES 25 MILES
Occupied Units
2022 Projection 21,245 43,000 271,224
2018 Estimate 22,744 45,132 293,576
HOUSEHOLDS BY INCOME 5 MILE 10 MILES 25 MILES
2018 Estimate
$200,000 or More 6.65% 5.19% 3.76%
$150,000 - $199,000 7.63% 6.44% 5.07%
$100,000 - $149,000 19.06% 20.03% 15.67%
$75,000 - $99,999 16.53% 16.68% 14.38%
$50,000 - $74,999 15.09% 16.94% 19.12%
$35,000 - $49,999 10.64% 11.51% 12.70%
$25,000 - $34,999 8.65% 7.89% 9.43%
$15,000 - $24,999 8.17% 8.11% 9.70%
Under - $15,000 7.58% 7.22% 10.16%
Average Household Income $97,443 $91,251 $78,308
Median Household Income $74,777 $72,387 $59,829
Per Capita Income $41,358 $36,990 $32,151
POPULATION PROFILE 5 MILE 10 MILES 25 MILES
Population 25+ by Education Level
2018 Estimate Population Age 25+ 33,720 70,940 449,880
Elementary (0-8) 1.12% 1.43% 1.86%
Some High School (9-11) 3.57% 4.57% 6.23%
High School Graduate (12) 20.71% 25.12% 29.91%
Some College (13-15) 17.57% 18.13% 18.25%
Associate Degree Only 10.10% 11.02% 11.96%
Bachelors Degree Only 25.50% 22.26% 17.53%
Graduate Degree 20.85% 16.88% 13.39%
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E X C L U S I V E LY L I S T E D B Y
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