Overview
HREC Investment Advisors is pleased to offer to qualified investors the opportunity to acquire the fee-simple interest in the 252-suite Homewood Suites by Hilton Orlando International Drive/Convention Center (8745 International Drive) and the 173-room Hampton Inn Orlando International Drive/Convention Center (8900 Universal Boulevard).
The two Properties are centrally located within the International Drive Submarket of the Orlando Market.
Orlando is one of the most sought-after tourism destinations in the world.
THE PROPERTIES ARE EFFECTIVELY LOCATED “ACROSS THE STREET” FROM THE NEW EPIC UNIVERSE AMUSEMENT PARK (OPENING IN SUMMER OF 2025).
EPIC UNIVERSE IS THE LARGEST HOTEL DEMAND GENERATOR UNDER CONSTRUCTION IN THE UNITED STATES.
The acquisition of the Hotels represents a unique opportunity to acquire the fee-simple interest in two cash-flowing properties that are direct beneficiaries of one of the most dynamic economies anywhere in the world.
The acquisition of the Hotels represents a unique opportunity to acquire the fee-simple interest in two cash-flowing properties that are direct beneficiaries of one of the most dynamic economies anywhere in the world.
Investment Highlights
Terrific Market Backdrop: Central Florida is one of the most popular tourism destinations and features (1) an intense collection of theme parks, (2) a variety of pristine beaches, (3) the most popular cruise port and (4) Kennedy Space Center where live launches can be experienced weekly.
Follow the Money: For good reason, institutional investment in the Orlando Market is at an all-time high (including the recent acquisition of the Hyatt Regency Orlando for over $1 Billion – other investors are well advised to follow their lead.
Epic Universe: Universal’s Epic Universe, now under construction and scheduled to open in summer 2025 will nearly double the size of Universal’s footprint in the market. In a typical year, the existing Universal Resort Orlando attracts roughly 20 million attendees.
Excellent Location: The Hotels are located adjacent to each other in the heart of the International Drive Submarket. The Hotels are very well located with regard to allowing easy access to both the Orange County Convention Center and Epic Universe (once it opens next year).
Supply/Demand Dynamics: For over 15 years, supply has failed to keep pace with demand in the Orlando Market, a trend that will likely continue with the opening of Epic Universe next year.
Low Rate of Select Service Supply Growth: Select Service supply growth is virtually non-existent within Orlando’s tourism corridors given (1) the cost of development , (2) a scarcity of suitable development sites, and (3) limited availability of bankable brands.
Don’t Wait for a “Better Deal:” As there are only two hotels in Orlando’s tourism corridors that are in special servicing (both of which are encumbered with above market ground leases), the time to invest is now.
Cash Flowing Assets: Over the past year (TTM July 2024), the two Hotels have generated a combined +/-$5.0 million in net operating income.
Management and Debt: The Hotels are being sold unencumbered by both management and debt.
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