comfort suites near casinos norwich€¦ · the comfort suites near casinos norwich, a five-story...

COMFORT SUITES NEAR CASINOS NORWICH

OFFERING MEMORANDUM

NON-ENDORSEMENT & DISCLAIMER NOTICE

CONFIDENTIALITY & DISCLAIMERThe information contained in the following Marketing Brochure is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Marcus & Millichap and should not be made available to any other person or entity without the written consent of Marcus & Millichap. This Marketing Brochure has been prepared to provide summary, unverified information to prospective purchasers, and to establish only a preliminary level of interest in the subject property. The information contained herein is not a substitute for a thorough due diligence investigation. Marcus & Millichap has not made any investigation, and makes no warranty or representation, with respect to the income or expenses for the subject property, the future projected financial performance of the property, the size and square footage of the property and improvements, the presence or absence of contaminating substances, PCB’s or asbestos, the compliance with State and Federal regulations, the physical condition of the improvements thereon, or the financial condition or business prospects of any tenant, or any tenant’s plans or intentions to continue its occupancy of the subject property. The information contained in this Marketing Brochure has been obtained from sources we believe to be reliable; however, Marcus & Millichap has not verified, and will not verify, any of the information contained herein, nor has Marcus & Millichap conducted any investigation regarding these matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must take appropriate measures to verify all of the information set forth herein.

Marcus & Millichap is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2018 Marcus & Millichap. All rights reserved.

NON-ENDORSEMENT NOTICEMarcus & Millichap is not affiliated with, sponsored by, or endorsed by any commercial tenant or lessee identified in this marketing package. The presence of any corporation’s logo or name is not intended to indicate or imply affiliation with, or sponsorship or endorsement by, said corporation of Marcus & Millichap, its affiliates or subsidiaries, or any agent, product, service, or commercial listing of Marcus & Millichap, and is solely included for the purpose of providing tenant lessee information about this listing to prospective customers.

ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY.PLEASE CONSULT YOUR MARCUS & MILLICHAP AGENT FOR MORE DETAILS.

JERRY SWONFirst Vice President Investments

National Hospitality GroupManhattan Office

Direct: 212-430-5219Mobile: 908-625-6934

[email protected]

DANIEL ZAGORIASenior Associate

National Hospitality GroupManhattan Office

Direct: 212-430-5211Mobile: 404-401-6006

[email protected]

TIM MCCAFFREYSenior Associate

National Hospitality Group Manhattan Office

Direct: 212-430-5197Mobile: 516-510-3075

[email protected]

CAMERON PIERCEAssociate

National Hospitality Group Manhattan Office

Direct: 646-805-1437Mobile: 631-681-8779

[email protected]

COMFORT SUITESNEAR CASINOS NORWICH

275 OTROBANDO AVENUE,NORWICH, CONNECTICUT 06360

EXCLUSIVELY LISTED BY:

O F F I C E S N A T I O N W I D E A N D T H R O U G H O U T C A N A D A

WWW.MARCUSMILLICHAP.COM

01 EXECUTIVE SUMMARYOffering Summary • Vital Data • Annualized Operating Data •

Executive Summary • Investment Overview • Summary Of Terms

TABLE OF CONTENTS

EXCLUSIVELY LISTED BY

09 PROPERTY DESCRIPTIONFeatures / Amenities • Local / Regional Map • Area Attractions

17 FINANCIAL OVERVIEWMarket Trend • RevPAR Comparison • Profit & Loss Summary • Five-Year Cash Flow Pro Forma • Five-Year IRR

24 COMPETITVE PROPERTY SET Competitve Properties Map • Competitve Properties

27 MARKET OVERVIEWDemographic Summary • Market Overview

COMFORT SUITESNEAR CASINOS NORWICH

275 OTROBANDO AVENUE,NORWICH, CONNECTICUT 06360

This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Any projections, opinions, as-sumptions or estimates used herein are for example purposes only and do not represent the current or future performance of the property. Marcus & Millichap Real Estate

Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2018 Marcus & Millichap ACT ID Z0332231

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275 OTRIBANDO AVENUE,NORWICH, CONNECTICUT 06360

OFFERING SUMMARY

Purchase Price $7,750,000

Down Payment $1,937,500 / 25%

Total Number of Rooms 119

Occupancy 49.2%

ADR $107.17

RevPAR $52.70

Year Built 1997

Number of Stories 5

Type of Ownership Fee Simple

Lot Size 2.31 Acres

VITAL DATA

Room Revenue Multiplier 3.4

Room Revenue Multiplier- Pro Forma 3.4

Price/Room $65,126

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ANNUALIZED OPERATINGDATA

ANNUALIZED OPERATING DATA

INCOME T12 AUG 2018 % OF GR PRO FORMA % OF GR

Room Revenue $2,289,055 97.4% $2,427,543 97.4%

Other Revenue $61,325 2.6% $65,036 2.6%

Gross Revenue $2,350,381 100.0% $2,492,579 100.0%

Total Expenses $1,946,690 82.8% $1,872,095 75.1%

Net Operating Income $403,691 17.2% $620,484 24.9%

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INVESTMENT OVERVIEW

Marcus & Millichap has been chosen to exclusively market for sale the Comfort Suites Near Casinos Norwich, a five-story 119-room hotel conveniently located near exit 27 off Route 2, and exit 82 off Interstate 395. The hotel is located approximately 45 miles from T.F. Green Airport.Amenities include: fitness center, banquet facilities, complimentary WiFi,meeting room, laundry facility, and indoor pool. Hotel guest rooms featurea microwave, television, refrigerator, desk, daily housekeeping, iron andironing board, hair dryer, and coffee maker.

INVESTMENT SUMMARYThe Comfort Suites Near Casinos Norwich represents the opportunity to acquire a well-maintained hotel located in a stable market. Our Pro Forma analysis assumes an investor will increase operating efficiencies through cost management and modest revenue growth.

TERMS OF SALEThe Comfort Suites Near Casinos Norwich is offered at $7,750,000 based on a 3.4 room revenue multiplier. Historic operating documentation and third party reports may be found in the online document data portal.

FRANCHISEChoice Hotels International (NYSE:CHH) is one of the largest and most successful lodging companies in the world. Choice currently franchises more than 6,500 hotels, representing more than 500,000 rooms, in more than 35 countries and territories.

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INVESTMENT HIGHLIGHTS

► Located near Exit 27 off Route 2 and Exit 82 off Intertate 395

► Approximately 45 Miles from T.F. Green Airport

► Proximity to Area Attractions - Foxwoods Resort Casino, Mohegan Sun Casino, Eastern Connecticut State University, Dodd Stadium, Universityof Connecticut, Mystic Seaport, Stanley Israelite Business Park, WilliamW. Backus Hospital

INTEREST OFFEREDFee simple interest in the Comfort Suites Near Casinos Norwich, a 119-room hotel located at 75 Otrobando Avenue, Norwich, Connecticut.

PROPERTY TOURSProspective purchasers are encouraged to visit the subject property prior to submitting offers. However, all property tours must be arranged with the Marcus & Millichap listing agents. Please do not contact the tenants, on-site management or staff without prior approval.

PROPOSED FINANCING

FINANCING

Loan Amount $5,812,500

Loan Type Proposed New

Interest Rate 6.20%

Amortization 25 Years

Loan information is time sensitive and subject to change. Contact your local Marcus & Millichap Capital Corporation representative.

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FEATURES AND

AMENITIES

► Complimentary WiFi

► Complimentary Parking

► Complimentary Breakfast

► Indoor Pool

► Laundry Facility

► Business Center

► Bar / Lounge

► Meeting / Banquet Facilities

► Complimentary Shuttle

► Fitness Center

COMMON AREA FEATURES

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► Complimentary WiFi

► Television

► Premium Cable Channels

► Coffee / Tea Maker

► Iron / Ironing Board

► Hair Dryer

► Desk

► Telephone

► Microwave

► Refrigerator

► Daily Housekeeping

GUEST ROOM AMENITIES

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MAPPING

LOCAL MAP REGIONAL MAP

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AREA ATTRACTIONSAREA ATTRACTIONS DISTANCE

Norwichtown Commons 1.7 Miles

William W. Backus Hospital 2.8 Miles

Dodd Stadium 2.9 Miles

Slater Memorial Museum 3.4 Miles

Stanley Israelite Business Park 4.3 Miles

Norwich Golf Course 4.5 Miles

Mohegan Sun Casino 5.7 Miles

Hopemead State Park 8.3 Miles

Foxwoods Resort Casino 11.8 Miles

Eastern Connecticut State University 14.1 Miles

University of Connecticut 21.3 Miles

Mystic Aquarium 23.0 Miles

Mystic Seaport Museum 23.6 Miles

Misquamicut Beach 28.7 Miles

MAJOR EMPLOYERS IN MARKET

Eastern Connecticut State University Foxwoods Resort Casino University of Connecticut

COMPANY LOCAL EMPLOYEES

United States Department of Navy 15,239

Foxwoods Resort Casino 11,002

Electric Boat Corporation 8,191

Pfizer 6,439

Office Sponsored Programs 4,469

University of Connecticut 2,169

Walmart 1,470

Backus Corporation 1,437

Lawrence & Memorial Hospital Inc. 1,400

Computer Sciences Corporation 1,087

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MARKET TREND

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REVPAR COMPARISON

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5-YEAR CASH FLOW PRO FORMA

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COMPETITIVE PROPERTY SET


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Hotel City, State Zip Rooms Open

Comfort Suites Near Casinos Norwich Norwich, CT 06360 119 1997

1 Holiday Inn Norwich Norwich, CT 06360 135 1971

2 Courtyard Norwich Norwich, CT 06360 120 1997

3 Fairfield Inn & Suites Uncasville Uncasville, CT 06382 105 1999

4 Microtel Inn & Suites by Wyndham Montville Uncasville Uncasville, CT 06382 120 2001

5 Hyatt Place Mohegan Sun Uncasville, CT 06382 176 2009

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DEMOGRAPHICS HIGHLIGHTS

50,016

$54,351 $201,077

POPULATION STATISTIC

INCOME STATISTIC HOUSING STATISTIC

EMPLOYMENT BY INDUSTRIES

III

POPULATION 5 MILES 10 MILES 25 MILES

2022 ProjectionTotal Population

51,827 113,022 583,456

2017 EstimateTotal Population

50,016 109,147 565,258

2010 CensusTotal Population

50,055 109,353 567,176

2000 CensusTotal Population

45,030 100,680 530,729

Daytime PopulationsTotal Population

55,263 106,630 543,634

HOUSEHOLDS 5 MILES 10 MILES 25 MILES

2022 ProjectionTotal Households

21,180 44,277 223,465

2017 EstimateTotal Households

20,276 42,409 214,561

Average (Mean) Household Size 2.44 2.53 2.49

2010 CensusTotal Households

20,241 42,356 214,772

2000 CensusTotal Households

18,478 38,744 198,801

HOUSING UNITS 5 MILES 10 MILES 25 MILES

Occupied Units

2022 Projection 21,180 44,277 223,465

2017 Estimate 22,638 46,471 242,601

HOUSEHOLDS BY INCOME 5 MILES 10 MILES 25 MILES

2017 Estimate

$200,000 or More 3.57% 4.25% 6.52%

$150,000 - $199,000 4.57% 6.38% 8.22%

$100,000 - $149,000 13.59% 17.62% 18.92%

$75,000 - $99,999 11.77% 14.37% 14.63%

$50,000 - $74,999 20.66% 20.20% 17.76%

$35,000 - $49,999 13.57% 12.27% 11.23%

$25,000 - $34,999 9.97% 8.27% 7.47%

$15,000 - $24,999 11.43% 8.63% 7.52%

Under - $15,000 10.87% 8.01% 7.73%

Average Household Income $73,026 $84,365 $96,520

Median Household Income $54,351 $64,879 $72,399

Per Capita Income $29,756 $33,035 $37,293

POPULATION PROFILE 5 MILES 10 MILES 25 MILES

Population 25+ by Education Level

2017 Estimate Population Age 25+ 35,004 76,915 385,793

Elementary (0-8) 2.29% 1.73% 1.85%

Some High School (9-11) 7.94% 7.18% 6.01%

High School Graduate (12) 36.16% 35.26% 29.82%

Some College (13-15) 23.18% 21.77% 19.13%

Associate Degree Only 8.04% 8.59% 8.49%

Bachelors Degree Only 12.73% 14.26% 18.81%

Graduate Degree 7.75% 9.87% 15.11%

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E X C L U S I V E LY L I S T E D B Y


comfort suites near casinos norwich€¦ · the comfort suites near casinos norwich, a five-story...

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