Ideal Opportunity for a First-Time Marriott Franchisee or Owner/Operator

• At 88 keys, the property is sized appropriately for a first-time Marriott franchisee or a hands-on owner/operator prepared to take the reins from an absentee ownership group and operate the hotel directly.

Excellent Location Along NASA Parkway, Surrounded by Demand Generators

• The property enjoys a prime location along NASA Parkway, across from Clear Lake and near major demand drivers including NASA Johnson Space Center, Kemah Boardwalk, Houston Methodist Clear Lake Hospital, HCA Houston Healthcare Clear Lake, and the University of Houston-Clear Lake campus.

• The ongoing $201-million expansion of U.S. Highway 146 between Seabrook and Kemah is improving regional connectivity and has already spurred new commercial development, such as the 19.5-acre, mixed-use Edge at Seabrook Town Centre.

• Clear Lake offers many opportunities for outdoor activities, including swimming, diving, boating, jet skiing, and fishing, thereby providing consistent leisure demand for area hotels.

• The $200-million Great Wolf Lodge & Flyway at Clear Lake Webster, featuring an indoor waterpark resort and 95,000-square-foot entertainment district, opened in 2024 and is driving significant weekend and family travel to Houston’s Bay Area.

Revenue and Expense Upside

• Current ownership operates the hotel on an absentee basis. A more hands-on operator has a clear path to push rate and occupancy while tightening operating expenses, both of which stand to flow directly to the bottom line.

All-Suite Product Matched to the Market

• An all-suite configuration of king and double queen suites is well suited to the leisure traveler who drives demand in this market, giving the property a room product advantage over more traditional limited-service competitors.

City-Funded Incentive Toward Exterior Improvements

• The Seabrook Economic Development Corporation has committed a $40,000 direct incentive toward repainting the property’s exterior, offsetting a meaningful share of the cost of this planned improvement.

Priced Below Replacement Cost at $85,200 per Key

• At the $7,500,000 guidance price, the hotel asset is priced well below what it would cost to construct a comparable asset today, providing a buyer with a strong cost-basis cushion.

Compelling In-Place Returns

• Over the next twelve months, the hotel is projected to generate more than $2.2 million in rooms revenue, leading to approximately $610,000 in net operating income (NOI), which underwrites to an 8.1% cap rate at the guidance price.

• The offering is priced at a rooms revenue multiplier (RRM) of 3.6 on the trailing-twelve-month (TTM) rooms revenue of $2,039,000, which reflects the hotel's current underperformance rather than the quality of the real estate.

Change-of-Ownership PIP

• The property has undergone a lobby renovation and has received new guestroom softgoods since its opening. The estimated Marriott change-of-ownership property improvement plan (PIP) totals approximately $1,100,000, or $12,500 per key.

Stable Revenue Base Since 2024

• Rooms revenue has held stable since 2024, giving new ownership a dependable, in-place cash flow base from which to build.

Significant RevPAR Upside Versus the Competitive Set

• The hotel is underperforming its competitive submarket, posting an 89.2% RevPAR penetration index and ranking fifth out of six hotels in terms of occupancy, despite its Marriott flag.

• Should the hotel simply perform in line with its competitive set, rooms revenue would exceed $2.25 million, underscoring the scale of the upside available to new ownership.

Hilton Closure Creates Demand Capture Opportunity

• In July 2026, the 242-room Hilton was closed for renovations; it is expected to remain offline for approximately 24 months as it undergoes a conversion to a Compass by Margaritaville hotel. The temporary reduction in competitive room supply presents a favorable opportunity for existing hotels in the market to capture displaced demand and benefit from improved occupancy and operating performance during the renovation period.

NASA Johnson Space Center

• NASA Johnson Space Center (JSC) attracts 1.3 million visitors annually through Space Center Houston, the official visitor center and a steady source of lodging demand for nearby hotels.

• Major events like the six-day Moon 2 Mars festival draw 60,000–70,000 attendees, creating spikes in hotel occupancy and tourism spending in Seabrook and the surrounding Clear Lake communities.

• JSC supports more than 39,000 jobs statewide and generates $9.8 billion in annual economic output, reinforcing Houston’s role as a hub for aerospace innovation and business travel.

• NASA’s ongoing Artemis program and ISS operations at JSC ensure long-term activity, attracting domestic and international visitors, scientists, and commercial partners who require extended stays in the area.

Kemah Boardwalk

• The property is located less than three miles from the 60-acre Kemah Boardwalk outdoor theme park—home to many restaurants, a collection of rides and roller coasters, carnival games, retail shops, and a 400-slip marina.

• The numerous dining, retail, and entertainment options are attractive to both business and transient guests.

Strong Corporate Lodging Demand from Household Names

• The hotel benefits from a diverse mix of corporate demand generators nearby, including Arkema, Honeywell, Celanese, Bayer, DuPont, LyondellBasell, Good Year, and ExxonMobil.

• Additional demand is driven by large-scale industrial and logistics hubs such as the Bayport Industrial District and the Port of Houston, which support consistent business travel and extended-stay lodging needs.

Transformative Developments Shaping the Future of the Local Submarket

• Ellington Field Joint Reserve Base & Houston Spaceport: Within a ten-minute drive of the property, Ellington Field anchors Bay Area Houston’s aerospace and defense corridor and hosts NASA flight operations, the Texas Air National Guard and Coast Guard Air Station Houston, and the nation’s 10th FAA-licensed commercial spaceport. Over $250 million in public and private investments have fueled infrastructure upgrades and tenant expansions, including Intuitive Machines, Axiom Space, and Collins Aerospace.

• Texas A&M Space Institute at Johnson Space Center: A planned $200-million investment (part of a $350-million initiative) will deliver a four-story, 32-acre facility adjacent to JSC, featuring lunar and Mars simulation labs, commercial research and development (R&D) space, and workforce training programs.

• Healthcare Expansion: HCA Houston Healthcare has broken ground on a $103-million expansion in Clear Lake. Set to be completed by late 2026, the project will add patient-tower capacity and modernized medical services to support the region’s growing population.

• Seabrook Town Centre Mixed-Use Development: The 30-acre, $85-million project will include approximately 320 multifamily residential units and 19,000 square feet of retail/restaurant space upon full build-out, slated for completion in 2026.

Management Availability

• The hotel asset is being offered free and clear of management encumbrances, giving an investor full flexibility to implement new operational strategies.