Increasing Revenue Trend

• The hotels’ rooms revenue increased year-over-year during the past five years, showcasing a strong demand despite a relatively flat post-pandemic rig count in the area.

• Rooms revenue equated to $4.1M in combined trailing-twelve-month (TTM) revenue as of February 2026, reflecting a 17.9% increase over what was earned for the TTM period as of February 2025.

Robust Historical RevPAR Performance

• RevPAR levels in this Permian Basin market have increased over the last several years, with the average of the competitive sets achieving robust 29.7% increase in 2023, a further 8.4% increase in 2024, and an impressive 10.4% increase in 2025.

• Per the December 2025 STR report, the hotels ranked first and second out of their competitors in terms of RevPAR, registering a 68.2% (rounded) RevPAR index combined. A new investor will be able to capitalize on the strong demand trends of the market, with some additional upside for further RevPAR gains.

Strong Cash Flow with Favorable CAP Rate

• In 2025, the hotels generated a combined $1,382,433 in net operating income (NOI), after replacement reserves, demonstrating strong, improving cash flow and supporting an 8.31% capitalization rate.

Attractive Price per Key

• Based on the $17,000,000 pricing guidance, the Portfolio underwrites to an attractive $86,294 per key, well below replacement cost.

• The properties have been updated to the latest brand standards required by Wyndham, providing an almost turn-key acquisition for a new buyer.

Absentee-Owned Hotel Portfolio

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

Excellent Location in Permian Basin

• The properties benefit from excellent visibility and accessibility off the frontage road along Texas Highway 191. Proximity to numerous dining, retail, and entertainment options is a positive attribute for both business and transient guests year-round.

• 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.

• In 2024, the Odessa Development Corporation (ODC) approved a resolution with ICA Development Inc. (ICA) to support its 150-acre, mixed-use development near the intersection of Texas Highway 191 and Yukon Road, approximately one-and-one-half miles from the properties. The development includes a 100,000-square-foot Bass Pro Shops outlet, which is expected to provide local and regional lodging demand related to onsite workshops.

• Targa Resources Corporation’s infrastructure build-out project is an expansion of the company’s Falcon Gas-Processing Plant near Orla, Texas. Construction started in May 2025 and is set to wrap up this summer. The project is expected to increase the plant’s natural gas capacity from 410 million to 685 million standard cubic feet per day. Additionally, Targa’s construction of two new gas-processing plants in the Permian Basin (East Pembrook Plant in Midkiff and East Driver Plant in Midland) represents a $7.5-billion investment in the region. These two plants, each being built with a natural gas capacity of 275 million standard cubic feet per day, are set for completion later this year.

Expanding Local Economy

• The region has strong oil-and-gas (O&G) presence from companies like Chevron, ExxonMobil, ConocoPhillips, and others.

• Last year, ExxonMobil 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); as of April 1, 2026, the year-end 2025 data were not yet available.

• 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 per day (Bcf/d) to other parts of Texas, with some scheduled to open in 2026.