CONFIDENTIAL PRIVATE PLACEMENT OFF MARKET:
Crown Plaza Hotel: 5700 28th St SE, Grand Rapids, MI 49546 Just off the (96) Interstate Highway.
- This hotel owner needs to sell soon.
- Asking price $10.8M
- Only send to real buyers ( do not shop out )
Closest hotel to airport. This property is located in Grand Rapids Michigan as follows:
Asking Price: $10,800,000.00 price per key = $36,875.00
Low purchase price is due to owner needs to sell now to avoid bankruptcy.
Built late 1980’s
Flag will be changed from Crown Plaza Hotel to Radisson Hotel.
CAP RATE for 2015 NOI of $843,559.00 divide by $9,500,000.00 = 8.8% CAP
CAP RATE for 2016 NOI of $368,453.00 divide by $9,500,000.00 = 3.9 % CAP
CAP RATE for 2017 NOI on target $581.730.00 divide by $9,500,000.00 = 6.12% CAP
CAP RATE projection for 2018 after ($4.2 M.PIP) $1,162,000.00 divide by $9,500,000.00 = 12.2% CAP
Above based on actual’s and HMG Pro forma.
Management Company HMG, in business 35 years, currently under contract with Marriott, Hilton, Crown Plaza and others.
11 Acres with upside.
320 rooms, 4 suites and 3 convertible rooms to suites.
Two pools, one indoor.
4 – conference rooms, 50,000 SF
PIP $4.2 million
4.5 miles from downtown
No Hotels by airport, six Hotels 4.5 miles from airport, even in current condition rated #1 of six and the only full service Hotel, all 3 – 3.5 Star category.
Only other full service Hotel, downtown “The Amway Hotel” located Downtown. This is a really nice hotel and a great price . You can buy for$10.5M …value is $16M. Seller must sell , before BK takes it from him. Buyers can hold for 2 years and flip. Keep current management in place . Can change flag to Marriott flip for $18M in a few years. Cap rate now is 12%.