Strengthening Revenue Trend

• The hotel’s total gross revenue averaged $2,223,590 over the past three years, supported by strong demand in the Permian Basin region.

• Rooms revenue equated to $2,330,000 (rounded) in 2025, reflecting a 27.5% (rounded) increase over what was earned in 2024.

Robust Historical RevPAR Performance

• RevPAR levels in this Permian Basin market increased year-over-year during the last few years, with the competitive set achieving 20.2% RevPAR growth in 2023, followed by a further 6.2% increase in 2024, and an impressive 12.9% increase in 2025.

• Per the November 2025 STR report, the hotel ranked fourth out of six competitors in terms of RevPAR, registering a 53.8% RevPAR index. A new investor will be able to capitalize on the strong demand trends of the market and revamp yield-management strategies to improve the hotel’s RevPAR index.

Attractive Rooms Revenue Multiplier (RRM): 2.90x

• Based on the $6,750,000 pricing guidance, the deal underwrites to an attractive 2.90x RRM in consideration of the hotel’s 2025 rooms revenue of $2,330,000.

Absentee-Owned Hotel Asset

• The asset is absentee-owned, creating a compelling opportunity for a hands-on buyer to unlock additional upside through improved day-to-day management, operational efficiencies, and enhanced revenue optimization.

Rebranding Opportunities

• Options exist for potential rebranding. Inquire with the representative broker for more information.

Excellent Location Among Strong Demand Generators

• The property benefits from a favorable location between Midland International Air & Space Port and Downtown Midland, near Loop 250 and many major corporate offices.

• The Texas Department of Transportation (TxDOT) is currently working on expanding an eleven-mile stretch of Interstate 20 between Odessa and Midland. The $424-million project includes constructing interchanges and reconstructing frontage roads, which will improve access.

• Strong corporate and energy demand drivers are supported by nearby oil and gas (O&G) operators an`d regional headquarters in this Permian Basin region.

• The area boasts one of the fastest-growing AI and data-center corridors in the United States, with multiple hyperscale projects underway across West Texas.

Expanding Local Economy

• The oil-and-gas (O&G) industry is supported by companies like Chevron, ExxonMobil, and ConocoPhillips, among others. ExxonMobil has announced plans to invest roughly $140 billion through 2030 across several major projects, primarily in the Permian Basin, to achieve its production goal of one million barrels of oil equivalent per day (BOE/D).

• Increased global demand for natural gas and liquid natural gas (LNG) has resulted in several infrastructure projects, including the Apex Pipeline, the Blackcomb Pipeline, and the Gulf Coast Express Expansion. These projects are aimed at increasing the output in billion cubic feet/day (Bcf/d) to other parts of Texas, with some scheduled to open in 2026.