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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

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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.

SALE FLYER

MORE ATTACHMENTS

Hotel Coral Reef

PROPERTY FACTS

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 -

PROPERTY TAXES

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

SALE ADVISOR

Davis Niehaus, Asset Manager
Asset Manager at Caribou Industries
  • Listing ID: 39181788

  • Date on Market: 1/22/2026

  • Last Updated:

  • Address: 4-1516 Kuhio Hwy, Kapaa, HI 96746

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