2360 Virginia Avenue, Collinsville, VA 24078
Berkadia Real Estate Services, LLC, as the exclusive agent to Owner, has been retained to offer for sale the fee-simple interest in the 146-room Quality Inn in Collinsville, VA (“Hotel” or “Asset”). Strategically situated just off Highway 220 which connects to Roanoke to the north and Greensboro, NC to the south, provides guests with convenient local, regional, and national connectivity.
Newly Renovated Off-Track Betting Lounge
In 2018, the Quality Inn Collinsville’s lounge underwent a $280,000 renovation to become the Windmill Off-Track Betting and Sports Grill. The Hotel has an agreement with Colonial Downs Group wherein Colonial Downs Group controls the gambling in The Windmill and the Hotel manages all food and beverage in the facility. This new lounge has become a large profit center for the Hotel due to both the increase in patronage and the rent paid by Colonial Downs Group.
Additional Revenue from Rooms Leased to Local Community College
In August 2018, 44 rooms which are in the annex building of the Hotel were taken out of service as part of the Hotel and are currently being rented out monthly as dorms for Patrick Henry Community College (PHCC) students, providing additional revenue for the Hotel. While right now only 9 rooms are being occupied, the current owners anticipate more rooms will be rented in 2019 to PHCC students, increasing the revenue for a future owner. Moreover, as these rooms which are rented out do not require housekeeping services, the increase in revenues goes straight to the bottom line.
Unencumbered by Management with Operational Upside
Offered unencumbered by management, the Hotel presents a new owner with an opportunity to streamline operations and increase flow-through to the bottom line. Currently, the Quality Inn achieves an NOI margin of 14.3%, versus the national limited-service, midscale hotel margin average of 43.2%. Tremendous upside exists for an owner who can implement a customized business plan for the Asset to further penetrate the market and decrease expenses, resulting in greatly enhanced Asset cash flow.
Unencumbered by Debt
The Quality Inn is offered free and clear of debt, a new owner has the opportunity to take advantage of extremely favorable financing opportunities.
Disclaimer: The information being provided herein is for informational purposes only. No representation or warranty is made as to the accuracy or completeness of any information contained herein, including, without limitation, any information regarding the condition of the Property, the condition of title or Property descriptions.
Any documents and/or pictures posted herein or elsewhere on the RealINSIGHT Marketplace, (the "Website") are for informational purposes only, and may not represent the current condition of the Property or the condition of the Property at the time of sale. The posting of pictures herein or elsewhere on the Website does not constitute a guarantee that any items represented in the pictures will be present when the buyer takes possession of the Property.
You are encouraged to conduct your own due diligence and investigate all matters relating to the Property. It is recommended that you seek independent advice, including legal advice, to perform your due diligence and that you use good faith efforts in determining that the content of all information provided to or obtained by you is accurate.