Madison Commercial Properties recently announced the sale of the Wingate by Wyndham Hotel, a midscale franchise hotel located at 4711 N. Elizabeth Street in Pueblo. Constructed in 1997, the 84 unit hotel sold for $8.1 million. The property has been well maintained and requires only minor renovation expenses.
Alex Kovacs represented the seller in the transaction. The buyer is a local hotelier, who transitioned in to this property via a 1031 exchange of proceeds of a hotel sale in Manitou Springs.
The buyer was attracted to the property due its consistent cash flow, even during the difficult 2020 COVID impacted year. The
hotel revenue declined only marginally, in part due to the excellent interstate location, and leisure/corporate business mix. The property sold on an 8.5% cap rate, based on 2020 income. SBA financing was provided by Pacific City Bank, based in California.
Wingate by Wyndham is a brand of independently owned hotels that targets business travelers. Wingate opened its first hotel in July 1996. Since then, over 100 new Wingate by Wyndham hotels have been opened.
Photo courtesy of Madison Commercial Properties
