For Sale
$5,200,000
5420 Lovington HwyHobbs, NM 88242
67-key Hampton Inn, strong ROI potential.
Overview
- Added:
- Dec 11, 2024
- Days on market:
- 123
Highlights
- Hampton Inn & Suites by Hilton Hobbs offers a Spark by Hilton conversion opportunity. The new owner will rebrand at closing; the conversion plan is available; estimated cost is $20,000 per key ($1.34M total).
- The hotel boasts strong operational upside potential. It shows a 29.6% GOP and $434,000 NOI (TTM July 2024), with potential for a 44-47% GOP margin through operational improvements and benefits from low property taxes.
- The property demonstrates increasing revenue and a stable operating history. Rooms revenue increased 10.4% (TTM August 2024 vs. prior year), averaging over $1.7M annually (2021-2023).
- This investment presents an attractive Rooms Revenue Multiplier (RRM) of 2.7x based on the $5.2M asking price and TTM August 2024 rooms revenue.
- The hotel enjoys a prime location in a strong oil & gas market. WTI prices remain strong; Lea County, NM, is #1 in US oil production.
- The property benefits from diverse demand generators. These include group business opportunities, 1,500+ monthly airport passengers, local attractions, Zia Park Casino (2.2M annual visitors), and major employers like Halliburton and ConocoPhillips.
Property Details for 5420 Lovington Hwy
- Property type
- Hospitality properties, Hotels
- Square Feet
- 68,074 SF
- Year Built
- 2004
- Buildings
- 1
- Stories
- 3
- Lot Size (sq. ft)
- 68,084 SF
Location Insight
- City
- Hobbs
- County
- Lea
- State
- New Mexico
- Latitude
- 32.762060318407
- Longitude
- -103.18160534262
5420 Lovington Hwy, Hobbs, New Mexico
Nearby Similar for Sale
FAQs
- What type of property is this?
- Hospitality property - 67-key Hampton Inn, strong ROI potential.
- Where is the hospitality property located?
- The property is located at 5420 Lovington Hwy Hobbs, NM.
- What is the asking price?
- The asking price for this property is $5,200,000.
- What are key features of this property?
- This property features: Hampton Inn & Suites by Hilton Hobbs offers a Spark by Hilton conversion opportunity. The new owner will rebrand at closing; the conversion plan is available; estimated cost is $20,000 per key ($1.34M total).; The hotel boasts strong operational upside potential. It shows a 29.6% GOP and $434,000 NOI (TTM July 2024), with potential for a 44-47% GOP margin through operational improvements and benefits from low property taxes.; The property demonstrates increasing revenue and a stable operating history. Rooms revenue increased 10.4% (TTM August 2024 vs. prior year), averaging over $1.7M annually (2021-2023).
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