High-Quality Hotel Asset

• This high-quality hotel asset is the premier lodging choice in Victoria, having been built with custom amenities tailored to both the leisure and corporate segments.

• The property features a resort-like indoor/outdoor swimming pool, a swim-up bar, and 7,004 square feet of meeting space (the largest offering of meeting space in the submarket).

Strong Historical Top-Line Performance

• From 2021 through 2025, rooms revenue consistently averaged over $3,750,000 (rounded), with gross revenue averaging over $4,200,000 (rounded). During the same period, the hotel maintained its status as the market leader, with an average RevPAR penetration index of 120.0%.

• The Garden Grille & Bar includes a fully equipped commercial kitchen for banquets and event catering, having generated over $580,000 (rounded) in additional revenue in 2025.

$1.5 Million Renovation Recently Completed, Minor Change-of-Ownership PIP Expected

• In 2024/25, ownership completed the outstanding Fixed Renovation Cycle Management (FRCM) “soft” update from Hilton, which included a refresh of the common areas and guestrooms at a cost of approximately $1.5 million.

• Given the recent completion of the FRCM renovation, a minor change-of-ownership property improvement plan (PIP) would be expected.

High-Quality Physical Product Below Replacement Cost

• The hotel opened in 2013, and ownership has maintained the physical asset well.

• To construct a similar asset with comparable amenities in a high-barriers-to-entry location, the estimated all-in investment would be a minimum of $150,000 per key.

Highly Sought-After Hilton Franchise; 15-Year Franchise Agreement Expected

• Upon acquisition and approval, an investor can expect a new long-term franchise agreement with Hilton.

• The Hilton Garden Inn franchise is an industry-proven brand with a strong reputation among corporate travelers. Per Hilton, the brand is able to drive a higher average rate than its competitors due to its leading food and beverage offerings and modern amenities, which result in improved profitability.

• An investor will benefit from operating a franchise of one of the world’s leading global hospitality companies. Every Hilton-branded property benefits from a unique system of innovative solutions and advanced technologies, known as the Hilton Performance Advantage, which delivers leading-edge support to consistently drive profits and efficiencies. It is a powerful resource for owners and operators, unrivaled in the industry. Hilton Honors™ is an award-winning guest loyalty program. Its roughly 190 million members account for more than 50.0% of all room nights globally for Hilton-branded hotels. Specifically for the Hilton Garden Inn brand, 65.0% of guests are Hilton Honors members.

Victoria, Texas Located Within a Two-Hour Drive of Corpus Christi, Houston, San Antonio, and Austin

• The property is strategically located just south of State Highway 463/Zac Lentz Parkway and east of Navarro Street/U.S. Business Highway 77, a highly developed thoroughfare in Victoria.

• Victoria is located 30 miles from the Gulf of Mexico and within a two-hour drive of Corpus Christi, Houston, San Antonio, and Austin. Easy access to major highways, the Victoria Regional Airport, railway terminals, the Port of Victoria, and the Port of Port Lavaca-Point Comfort helps to sustain a healthy environment for business.

• Major business clusters in the Victoria area are primarily focused on industrial manufacturing, particularly the manufacturing of metals, petroleum, chemicals, and plastics, as well as other materials.

• Top employers here include Caterpillar, DOW Seadrift Operations, Formosa Plastics, Integrated Bagging Systems, INVISTA, Inteplast Group, Citizens Medical Center, and DeTar Healthcare System.

Key Developments Fueling Market Expansion

• In March 2026, Caterpillar announced the expansion of its Victoria manufacturing facility, adding approximately 200 new jobs (a 30% increase to its existing workforce). The expansion is actively underway, with hiring occurring in phases to support continued demand for hydraulic excavators. Roles span production, engineering, and support functions, with ongoing workforce training initiatives. This sustained employment growth is expected to generate consistent business transient demand, vendor activity, and training-related stays, reinforcing stable year-round occupancy and long-term lodging demand in the Victoria market.

• Announced last November, Formosa Plastics is advancing its $207-million chemical production facility in Jackson County (south of Victoria), with construction having commenced in 2025. The project is expected to create 21 new full-time jobs while supporting over 1,400 existing positions at the Point Comfort complex. Backed by a Texas Enterprise Fund grant, the development reinforces long-term industrial growth in the region.

• In May 2025, the Port of Victoria partnered with Green Energy Origin to develop a $150-million, clean-energy production facility, with development expected to begin in 2026 and progress through 2030. The project is anticipated to create dozens of construction jobs and long-term operational positions.

• Blue Energy and Crusoe announced a partnership to develop a large-scale, nuclear-powered, AI data-center campus, representing a multi-billion-dollar investment supported by advanced small modular reactor (SMR) technology. The project is in the early stage of development, with construction anticipated in the next few years, and operations targeted to commence by 2031.

Management Availability

• The hotel asset is being offered free and clear of any management encumbrances, providing an investor with the flexibility to install its preferred management company or to self-operate upon approval by Hilton.