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Hotel Coral Reef 4-1516 Kuhio Hwy 27 Room Hotel Kapaa, HI 96746 $16,800,000 ($622,222/Room) 5.30% Cap Rate



INVESTMENT HIGHLIGHTS
- Stabilized Cash Flow: In-place annual NOI of $890,743.20, providing immediate and reliable income.
- Prime Kauai Location: Situated in one of Hawaii’s most supply-constrained hospitality markets with consistently strong tourism demand.
- Favorable Price Per Key: Approximately $622,222 per room, competitive for coastal Hawaii hotel assets.
- Attractive Cap Rate: Offered at a 5.3% capitalization rate, compelling for a boutique hotel in a premier Hawaiian resort market.
- Boutique Asset Appeal: 27-room property offers operational flexibility, personalized guest experience, and strong pricing power.
- Upside Potential: Opportunity to enhance revenue through rate optimization, brand repositioning, light renovations, and improved marketing strategies.
EXECUTIVE SUMMARY
Hotel Coral Reef presents a rare opportunity to acquire a boutique hospitality asset in one of Hawaii’s most desirable and supply-constrained resort markets. This 27-room hotel is being offered for sale at $16,800,000, generating a strong and stable Net Operating Income (NOI) of $890,743.20, reflecting an attractive 5.3% capitalization rate.
Located on the island of Kauai, a market known for its limited hotel inventory, high barriers to entry, and consistent demand driven by leisure and luxury tourism, Hotel Coral Reef is well positioned to benefit from long-term appreciation and continued operational performance. Boutique properties of this size are increasingly sought after by investors due to their operational flexibility, unique guest experience, and ability to command premium nightly rates.
The property offers investors immediate, in-place cash flow with upside potential through strategic revenue management, targeted renovations, brand repositioning, or operational efficiencies. The current income profile supports both yield-focused and value-add investment strategies, making the asset suitable for private investors, family offices, and hospitality-focused funds seeking exposure to Hawaii’s resilient lodging market.
Located on the island of Kauai, a market known for its limited hotel inventory, high barriers to entry, and consistent demand driven by leisure and luxury tourism, Hotel Coral Reef is well positioned to benefit from long-term appreciation and continued operational performance. Boutique properties of this size are increasingly sought after by investors due to their operational flexibility, unique guest experience, and ability to command premium nightly rates.
The property offers investors immediate, in-place cash flow with upside potential through strategic revenue management, targeted renovations, brand repositioning, or operational efficiencies. The current income profile supports both yield-focused and value-add investment strategies, making the asset suitable for private investors, family offices, and hospitality-focused funds seeking exposure to Hawaii’s resilient lodging market.
SALE FLYER
PROPERTY FACTS
| Price | $16,800,000 | Lot Size | 1.09 AC |
| Price Per Room | $622,222 | Building Size | 35,376 SF |
| Sale Type | Investment | No. Rooms | 27 |
| Cap Rate | 5.30% | No. Stories | 3 |
| Property Type | Hospitality | Year Built/Renovated | 1953/2019 |
| Property Subtype | Hotel | Parking Ratio | 0.93/1,000 SF |
| Building Class | C | Corridor | Exterior |
| Zoning | CG | ||
| Price | $16,800,000 |
| Price Per Room | $622,222 |
| Sale Type | Investment |
| Cap Rate | 5.30% |
| Property Type | Hospitality |
| Property Subtype | Hotel |
| Building Class | C |
| Lot Size | 1.09 AC |
| Building Size | 35,376 SF |
| No. Rooms | 27 |
| No. Stories | 3 |
| Year Built/Renovated | 1953/2019 |
| Parking Ratio | 0.93/1,000 SF |
| Corridor | Exterior |
| Zoning | CG |
AMENITIES
- Balcony
- Pool
- Restaurant
- High Speed Internet Access
- Patio
- Public Access Wifi
- Smoke-Free
- Fully-Equipped Kitchen
- Multi-Room Suites
ROOM MIX INFORMATION
| DESCRIPTION | NO. ROOMS | DAILY RATE | SF |
|---|---|---|---|
| Suite | 5 | $344.00 | - |
| Guest Room | 22 | $284.00 | - |
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PROPERTY TAXES
| Parcel Number | 4-4-5-012-006-0000 | Improvements Assessment | $794,800 |
| Land Assessment | $449,100 | Total Assessment | $1,243,900 |
PROPERTY TAXES
Parcel Number
4-4-5-012-006-0000
Land Assessment
$449,100
Improvements Assessment
$794,800
Total Assessment
$1,243,900
SALE ADVISOR
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Hotel Coral Reef | 4-1516 Kuhio Hwy
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