Econo Lodge Lake City-North 178 SW Florida Gateway Dr 61 Room Hotel Lake City, FL 32024 $3,250,000 ($53,279/Room) 10.46% Cap Rate

OFFERING OVERVIEW:
DSH Hotel Advisors has been retained as the exclusive broker to market for sale the Econo Lodge by Choice Hotels Lake City, Florida, a two-story 61-room exterior corridor hotel located directly off of Interstate-75, within a close proximity to several major demand generators. Additionally, current ownership would consider selling adjacent land and a retail plaza, which includes a liquor store, a single-family home, multiple rental income sources, and 47.3+/- acres of land.


PROPERTY CONDITION:
The subject property remains in good condition due to the recent renovations completed and an ongoing capital improvement plan. It is estimated that the change of ownership PIP would be approximately $50,000+/-; however, that is only an estimate and would need to be verified by Choice Hotels via an issued change of ownership PIP.


RENOVATIONS COMPLETED INCLUDE:
• New Interior & Exterior Paint
• New Flooring
• New Bedding
• New Mattresses
• New TVs
• Parking Lot Resurfaced


MARKET OVERVIEW:
The subject property located in Lake City, FL is conveniently located adjacent to Interstate-75. Lake City has long been known as “The Gateway to Florida” as it sits approximately 64 miles from Jacksonville, 46 miles from Gainesville, and 104 miles from Tallahassee. Lake City is the northernmost sizable city in Florida on Interstate-75 and carries a large percentage of Florida’s tourist and commercial traffic. Lake City and its natural beauty and outdoor activities is a natural theme park for outdoor enthusiasts, festival goers, music lovers, or those simply wanting to spend a little time in a quiet and tranquil setting. With crystal-clear freshwater springs, history, culture, various music festivals, and an abundance of outdoor activities, Lake City attracts visitors year-round.


UPSIDE POTENTIAL:
The Econo Lodge by Choice Hotels is situated directly off I-75 and is only a short distance from I-10. The subject property has historically outperformed the comp set in ADR but lagged significantly in Occupancy, ultimately placing it ranked 4 of 7 in RevPAR. Significant upside potential remains for an owner-operator through active management and managing guest experience to ultimately improve the bottom-line.


Property Highlights:
• Econo Lodge by Choice Hotels - Lake City, Florida
• 61-Rooms, Two Story, Exterior Corridor
• Close Proximity to Multiple Diverse Demand Generators
• Minimal Change of Ownership PIP
• Amenities Include, Outdoor Pool, Premium WiFi, Outdoor Picnic Area, Truck Parking, Guest Laundry, News Stand
• Absentee Owner



Location Highlights:
• Situated at Intersection of I-75 & US 90
• High Visibility from I-75
• 46 Miles from Gainesville, FL
• 64 Miles from Jacksonville, FL
• 104 Miles from Tallahassee, FL



Financial Highlights:
• List Price of $3,250,000
• YE 2024 Room Revenue of $1,037,228
• Year 1 Projected Room Revenue of $1,098,101
• Year 1 Projected NOI of $352,797
• 2024 Occupancy - Ranked 4 of 6
• 2024 ADR - Ranked 1 of 6
• 2024 RevPAR - Ranked 3 of 6