Excellent Location Among Strong Corporate & Leisure Demand Generators

• The property is conveniently located just off Interstate 10 and within a 15-minute drive of several leisure and commercial demand generators, including Baptist Hospitals of Southeast Texas, Lamar University, Ford Park, and ExxonMobil Beaumont Chemical Plant, among others.

Robust, Growing Petrochemical Market

• Based upon a report published by the Southeast Texas Economic Development Foundation (SETEDF), approximately $54 billion of petrochemical expansion projects are either underway or have been recently completed; ongoing projects are expected to be completed by 2030.

• These projects include Exxon’s $10-billion Golden Pass LNG Expansion, currently on track to begin operations in 2024, and Valero’s $975-million refinery expansion, completed in April 2023. Local officials anticipate that these projects will create over 2,000 temporary jobs and 500 permanent jobs in the area.

Underperforming Asset

• The hotel has underperformed in the past, running at a loss in 2022. New ownership will have the opportunity to implement cost-saving strategies, specifically by reducing payroll expenses and supply costs. It is expected that a new owner-operator would be able to achieve a 40.0% gross house profit upon stabilization.

Discount to Replacement Cost

• The property is available at a discount to its replacement cost, at $54,717 per key, presenting a cost-effective investment opportunity.

Onsite Living for Owner/Operator

• The property contains a two-bedroom, two-bathroom manager’s apartment.

Unencumbered by Management Agreement

• The hotel asset is being offered fully unencumbered by a management agreement.