I live in the Outer Banks of North Carolina. Two small beachside hotels have come up for sale (see LoopNet) and I would like to know if there are any tools other than CapRate and NOI to help me with deal analysis. I have been provided a Pro Forma from the listing broker, and it appears that there is some room for improvement on the numbers, especially vacancy during the peak season. This is a vacation destination and we really only have 3 busy months during the summer. I would like some help in evaluating a hotel, determining what to consider when evaluating and making a decision on purchase price, and I would like to know what sort of "tricks" to look out for. Any help you can provide is greatly appreciated.
@Jason Hathcock while I am familiar with the outerbanks, I am not familiar with hotel acquisitions and management. I would really dig in and find someone that specializes in this area. Trying doing the keyword search on BP.
https://www.getrefm.com/ - has some great software and spreadsheets. I have used their multifamily spreadsheets before and thought they worked great. They have some hotel modeling spreadsheets as well, maybe check those out to help with the modeling.
Thanks Andrew. I will check out the website. I have met with several successful commercial investors on the OBX, however none of them have experience in hotels. I will keep plugging away. Thanks again.
@Jason Hathcock - how is his going? -I may be able to help.
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