Hampton Inn Austin-North @ I-35 & Hwy 183 7619 N Interstate 35

121 Room Hotel Austin, TX 78752 $11,000,000 ($90,909/Room) 6.81% Cap Rate

INVESTMENT HIGHLIGHTS

  • HOT AUSTIN LOCATION 5 minutes to Downtown on Intersection of I-35 & Hwy. 183
  • Underperforming due to PIP & Management! Tremendous Upside After Completion of PIP.
  • Historical Revenue average $3,500,000 current Revenue $2,900,000.
  • Hampton Inn’s are the #1 Sought After Brand.
  • Ranked 5 of 7 on ADR when Hampton Should be Market leader. (due to PIP).
  • Motivated Seller bring all offers.

EXECUTIVE SUMMARY

Attractive Pricing: Priced at $11M ($90,909 per room before PIP; $99,174 per room after an estimated $1M PIP), significantly below Austin's market average of $160K–$180K per key.
Prime Location & Strong Brand: Located in a high-growth market, the Hampton Inn, ranked as the #1 hospitality brand, offers a 60% reservation contribution, driving occupancy and guest loyalty.
Operational Turnaround: Under new ownership since August 2022, improved expense control, revenue optimization, and sales management have boosted profitability and revenue, which is currently $2.9M even before PIP completion.
Market Potential: The hotel ranks 3rd in occupancy (66.1%) but 5th in ADR ($98.23), leaving substantial room for ADR growth post-renovations compared to the competitive set’s ADR of $115.
Franchise Flexibility & PIP: A partial $1M Forever Young PIP is required, with Hilton offering opportunities for a 15-year Spark Hotel conversion or continued branding beyond the current franchise term ending in 2030.
Motivated Seller: The developer-owner seeks to sell to free up capital for other projects, making this a compelling investment opportunity.

PROPERTY FACTS Under Contract

Price $11,000,000
Price Per Room $90,909
Sale Type Investment
Cap Rate 6.81%
Property Type Hospitality
Property Subtype Hotel
Building Class B
Lot Size 2.83 AC
Building Size 53,380 SF
No. Rooms 121
No. Stories 4
Year Built 1986
Tenancy Single
Parking Ratio 2.34/1,000 SF
Corridor Interior

AMENITIES

  • Business Center
  • Fitness Center
  • Pool
  • High Speed Internet Access
  • Meeting Event Space
  • Public Access Wifi
  • Smoke-Free
  • Digital key

ROOM MIX INFORMATION

DESCRIPTION NO. ROOMS DAILY RATE SF
Guest Room 121 $109.00 -

PROPERTY TAXES

ZONING

Zoning Code CS-MU-NP
  • Listing ID: 34428955

  • Date on Market: 1/9/2025

  • Last Updated:

  • Address: 7619 N Interstate 35, Austin, TX 78752