ramada waukegan/gurnee

ramada waukegan/gurnee
CRU Real Estate Advisors Hotels (“CRU”) has been retained as exclusive
advisor, to offer for sale the fee-simple interest in the 186-guestroom
full service Ramada Waukegan/Gurnee (the “Hotel” or “Property”) located at
200 N. Green Bay Rd, Waukegan, IL 60085. The Hotel is positioned on
5.69± acres and is located along IL-131/Green Bay Rd. This Hotel is being
offered unencumbered by management and is in good physical condition.
The Hotel offers an exceptional opportunity for an investor to acquire a
partly renovated Hotel at a significant discount to replacement cost near two
major demand generators that attract more than 25 million visitors annually.
This is an exceptional opportunity to acquire an absentee owned Wyndhamaffiliated hotel with significant upside potential. The Ramada Waukegan/Gurnee
and well positioned to benefit from an upswing in the market conditions. The
Property is a two-story full-service interior corridor hotel originally constructed
in 1976 and the current ownership has injected over $1M in renovations to the hotel, public space and reinvented on-site restaurant and bar. The
Hotel offers a variety of amenities such as; complimentary hot breakfast, business center, fitness center, complimentary wireless Internet service,
indoor heated pool and whirlpool and complimentary parking.
confidential
ramada waukegan/gurnee
HOTELS
investment highlights
Significant Potential Upside
The Hotel has significant upside as the absentee
ownership is underperforming its comp set and
reported a 59.9% penetration index during the
YE 2013 period. During the T12 April 2014
period the comp set reported a 13.7% increase in
RevPAR over the same period in YE 2013. This
represents a strong market for a new buyer to come
in and increase penetration to the market demands
and a new investor could leverage the Property’s
recent renovation to aggressively drive revenues
as well as enhancing guest satisfaction and
customer loyalty while increasing the NOI.
Excellent Lodging Market Fundamentals
The Ramada Waukegan/Gurnee is located in a
strong and stable lodging market in Illinois. The
Market has a built in Thursday through Sunday
business with the Navy Graduations for roughly
46 weeks out of the year and Six Flag Great
America during the summer months. The Hotel
is located within a close proximity to numerous
corporate demand generators.
Attractive and Flexible Terms Available
The current owner is willing to offer to a new
buyer a lease option and/or possible seller
financing with flexible terms. The interior corridor
Hotel is in good physical condition and it is
expected that a minimal PIP will be needed
with a change of ownership. A new investor
could leverage the Property’s recent renovation
and completion of the previous PIP to aggressively
drive revenues as well.
Renovated and Well-Maintained Asset
The Hotel is in good physical condition with a newly
renovated Lobby, Ballroom and Restaurant & Bar.
Additionally, all guestrooms where refreshed with
numerous updated items including new flat-screen
HDTV’s, ergonomic chairs, alarm clocks with MP3
connection and a majority of Executive Guestrooms.
It is expected that a minimal PIP will be needed
as part of the change of ownership.
Low Cost Per Room
The hotel is being offered at only $34,940 per
guestroom. This is a significant discount to
replacement cost, as well as the current market per
key sales price.
Superior Branding
The Ramada brand is internationally recognized as
a member of the Wyndham Hotel and Resorts
(“Wyndham) International chain of hotels. This
investment is especially attractive to owner/
operators who are seeking to leverage the power of
the Wyndham Hotels central reservations system
and Ramada’s standing among the full-service
hotel class.
Unencumbered by Management
The Hotel is being offered unencumbered by
management. A new investor will have maximum
control over the day to day operations, the ability
to aggressively control costs and implement a more
effective yield management strategy.
Offered By:
Steven L. Senft
Principal
DRE# CA01708317
M 1.310.795.4533
steve@crurea.com
confidential
ramada waukegan/gurnee
HOTELS
property details
Sales Price
$6,499,000 or $34,940 per room
Address
200 North Green Bay Road, Waukegan IL 60085
CountyLake County
Parcel No.08-19-300-001
Ownership Interest
Fee-Simple
No. of Rooms186
Year Built1976
Site Area
5.69 acres (247,856 SF)
Franchise
Ramada by Wyndham Hotel Group
Management Unencumbered by Management
Floors/Layout2-story interior corridor
Food and Beverage
Base 42 Bar & Grill, Ramada Mart
Meeting Space10,170 SF Total Meeting Space including a 4,480 SF ballroom and a Executive Center
Other Facilities &
Heated Indoor Pool and Whirlpool
AmenitiesFitness Center
Business Center
Complimentary Internet
Ramada Mart (Grab N’ Go)
Guest Shuttle
Laundry2 washers (100 LB, 135 LB), 2 dryers,
1 ironer
confidential
ramada waukegan/gurnee
HOTELS
property description - ramada waukegan/gurnee
Location
Strategically located in Waukegan, IL, a halfway location between Chicago and
Milwaukee, the Ramada Waukegan/Gurnee Hotel is situated on approximately 5.69±
acres of fee-simple land. This unique Hotel location offers businesses and leisure
travelers excellent lodging accessibility along Green Bay Rd, a major thoroughfare
in the North Chicago area. Hotel guests will discover easy access to Waukegan/
Gurnee’s major demand generators and recreational opportunities. Both the Naval
Station Great Lakes, Six Flags Great America and Hurricane Harbor and Gurnee
Mills Malls.
Property Layout and Configuration
The Ramada Waukegan/Gurnee is position on approximately 5.69± parcel and is five separate buildings, four of which are two-stories, consistenting
of all hotel rooms and the including the 5,690 sq. ft. Great Lakes Conference Center, which offers eight meetings rooms, including conference rooms,
boardrooms and hospitality suites. The one-story building consisents of the lobby, fitness center, executive and sales offices, the 4,480 sq. ft. Grand
Ballroom, Base 42 Bar & Grill and all Food & Beverage back-of-house.
Access and Visibility
GUESTROOM CONFIGURATION
The Ramada Waukegan/Gurnee is easily visible and accessible from I-94 and US Route
Type
No. of Rooms
Percent
41. The Property is roughly 40 miles from Chicago O’Hare International Airport Standard Double
113
60.8%
(“ORD”) and a 45 miles from General Mitchell International Airport (MKE). The central Standard King
12
6.5%
location of the Hotel means that guests can access almost anywhere in North Chicago area. King Jr. Suite
6
3.2%
Guestrooms
The Ramada Waukegan/Gurnee hotel offers 186 guestroom and suites. Of the 186
guestrooms, 50 are oversized Executive guestrooms, which include two large suites.
Each of our guestrooms feature complimentary WiFi access, new flat screen TV’s,
new ergonomic desk chairs and alarm clock with MP3 connection, in-room
safes, coffee maker, Speakman showerhead and curved shower rods and the
Executive Guestrooms also include a mini-refrigerator and microwave.
confidential
Triple Queen Family Suite
Executive King
Executive King Suite
Executive Double Queen
Total
5
16
2
32
186
2.7%
8.6%
1.1%
17.2%
100.0%
ramada waukegan/gurnee
HOTELS