Lucky Motel 1011 E 4th St 23 Room Hotel Reno, NV 89512 $6,100,000 ($265,217/Room) 5.42% Cap Rate

A Fully Executed Boutique Asset in a Supply-Constrained Reno Market
The Lucky Motel was recently acquired and taken through a top-to-bottom renovation, repositioning it into what is arguably the nicest boutique-style motel in Reno. From the curb, the property presents with clean lines, modern finishes, and a polished, intentional look. Inside, all 23 rooms — approximately 350 SF each — were fully modernized with upgraded systems, fixtures, and finishes, delivering a level of quality that clearly separates this asset from anything else in its competitive set.
That execution has translated directly into performance. The property is 100% occupied, and post-renovation rent increases were achieved without resistance — a clear signal that the market values the improvements and is willing to pay for them. The renovation focused not just on appearance, but on creating a materially better living experience, resulting in stronger demand, higher tenant retention, and a more durable income stream.
From an investment standpoint, the appeal is straightforward. Reno is facing a well-documented shortage of attainable housing, particularly for clean, well-located accommodations of this size and quality. The Lucky Motel offers immediate, stabilized cash flow, minimal near-term capital risk, and multiple long-term paths forward — hold as a high-performing boutique lodging asset, operate as an extended-stay model, or position for hybrid residential use. It’s a simple, fully executed property in a supply-constrained market — exactly the kind of asset investors look for when they want both income today and flexibility tomorrow.
LOCATION & MARKET HIGHLIGHTS
The Lucky Motel is located along East 4th Street, within Reno’s rapidly evolving Brewery District—an infill corridor undergoing sustained cultural, residential, and commercial revitalization. Historically a legacy industrial and lodging area, East 4th Street has transitioned into one of Reno’s most active adaptive-reuse corridors, attracting breweries, creative studios, neighborhood retail, and small-format urban housing. Continued public and private investment has materially improved the corridor’s perception, walkability, and long-term positioning.
Reno and Washoe County continue to benefit from diversified economic growth, supported by technology, advanced manufacturing, logistics, healthcare, and higher education. Major regional employers—including Tesla, Panasonic, Switch, Google, Renown Health, and the University of Nevada, Reno (UNR)—drive sustained demand for attainable housing and extended-stay accommodations throughout the urban core. These employment drivers funnel directly into infill neighborhoods such as East 4th Street, where proximity, affordability, and unit efficiency remain highly valued.
From a housing standpoint, the Reno metro is projected to require more than 15,000 additional housing units over the next decade, with the greatest demand concentrated in small-format, attainable product. Recent market data reflects approximately 6% year-over-year rent growth, with renovated assets consistently outperforming legacy stock. Within this context, renovated micro-units and boutique extended-stay properties have demonstrated outsized demand and resilience, supported by workforce
renters, students, healthcare professionals, and service employees.
The Lucky Motel’s location offers immediate access to Downtown Reno, Midtown, UNR, Renown Health, transit routes, and major arterials, while remaining positioned within a corridor benefiting from long-term reinvestment momentum. This combination of urban connectivity, supply constraints, and demonstrated tenant demand provides a durable foundation for both current cash flow and long-term value support.