This 66 unit Express & Suites will be delivered with a completed Formula Blue PIP and at less than $100K per key.  It will also offer a new license agreement until Sept, 2033.  The property upgrades also include new guest room windows and a new roof.    Besides the foregoing, the offering features attractive cash flow and should require minimal investment for the next 10 years (notwithstanding the  soft surfaces).   The Formula Blue renovation should allow the Express to improve among its compset competitors, creating revenue upside.  It has been our experience that Formula Blue renovations do add value to the hotel, in the form of ability of manage rates better, higher guest satisfaction, and increased ability to compete against new competition.  Furthermore, the hassle of a major PIP and all of the issues associated with the PIP will be finished.

Executive Summary

This profitable Holiday Inn Express & Suites, South Lincoln is an original one owner property located in one of the highest rated college towns in America.  The 66 unit hotel is being brought to market prior to commencing a Formula Blue PIP, and will be delivered with the PIP completed.   The property is well located in the growing southeast quadrant of Lincoln, along the developing Hwy 2 corridor.  Hwy 2 connects the Lincoln metro to I-29 to the east.

Lincoln, NE, with nearly 300,000 residents,  is a southeast commercial hub in Nebraska.  It is home to the University of Nebraska, a member of the Big 10 conference.  With a student population in excess of 26,000, it is a major demand generator and one of the most notable brands in the Midwest.  The university is located near downtown Lincoln, which is also home to the State Capitol.  These two major employers drive a significant amount of business for the hospitality industry.  Lincoln has received a number of  “Top Livable Cities” designations from numerous sources, such as Liveability, NerdWallet, Forbes and others.

With the completion of the PIP, the hotel should be able to reclaim a higher position within its compset.  While the renovations are needed for the Formula Blue requirement, the hotel is still well received by the rating services such a TripAdvisor.  Therefore, one would expect the  improvements to allow a more aggressive stance on rates and should pave the way for increased revenue.  Furthermore, a new license agreement will be offered until Sept, 2033.   It is difficult to find a totally PIP’d Express for under $100K per key, especially in a metro market featuring a major university and the State Capitol.

The interior photos shown herein are pre-renovation, except for two examples of a Formula Blue room renovation, which are representative of the finished product when completed but are not taken from this property.

 

 

 

Property Details

Address
8801 Amber Hill Court, Lincoln , NE 68526
Price
6,400,000 
Rooms
66, with 33 suites 
Price Per Key
96,970 
Property Type
Limited Service - Highway 
Revenue
Call for CA 
Website
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Hotel Description

  • Built 2006
  • New licensing agreement to extend to Sept 2033
  • Commencing Formula Blue PIP (late Dec delivery)
  • 33 suite type rooms
  • New guest room windows
  • New roof
  • State Capital city
  • University of Nebraska
  • Strong historical revenue and cash flow
  • Operates well below its Compset in all categories
  • Rates 4.3 stars on TripAdvisor

Contact a Broker

Brent Jaynes Headshot

Brent Jaynes

8725 Rosehill Road, Suite 300
Lenexa, KS 66215
Phone: 913-499-4731
Fax: 913-499-4771