5151 American Blvd WBloomington, MN 55437
La Quinta Inn & Suites Minneapolis Bloomington West
Asset ClassHotel & Hospitality
Overview
HREC Investment Advisors has been retained as the exclusive advisor and is pleased to present the opportunity to acquire the fee simple interest in the 233-key La Quinta Inn & Suites Minneapolis Bloomington West (sometimes referred to as “Hotel” or “Property”) located in Bloomington, MN.
Investment Highlights
- Class A Office Space within Walking Distance: The La Quinta Inn & Suites is within walking distance to Normandale Lake Office Park (Class A). This park houses 5,000 professionals across 70 companies. The strategic location places the Hotel in the heart of Bloomington's thriving business scene, with major corporations like Seagate Technology, Express Scripts, Donaldson Company (HQ), Best Buy (HQ), and Dairy Queen (HQ) all within easy reach.
- Ideal Location in Minneapolis’ Strongest Submarket: Bloomington is the strongest hospitality submarket in the Minneapolis metropolitan area (64.6% occupancy as of the November 2024 TTM period for the submarket, according to CoStar). Due to limited brand availability and increased construction costs, the submarket has become the highest barrier-to-entry submarket in the Minneapolis metropolitan area.
- Strong Performance Compared to Competitive Set: The La Quinta Inn & Suites is ranked second among the eight hotels in its competitive set for RevPAR as of YE 2024. With a RevPAR penetration of 109.1%, the Hotel has demonstrated its ability to generate significant top-line revenue.
- Attractive Basis - Well Below Replacement Cost: The national average cost of building a hotel has increased significantly in the past few years. This Asset provides an investor with the opportunity to acquire a high-quality Property, unencumbered of debt, at pricing well below current construction costs (even after the completion of PIP).
- Upside from Replacing Existing Management: The La Quinta Inn & Suites Minneapolis Bloomington West presents an excellent opportunity for an investor to purchase the Hotel unencumbered by a management agreement. Investors have the chance to bring in a new management company or self-operate and revamp the operational strategy of the Hotel.
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5151 American Blvd WBloomington, MN 55437
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Listing provided by Revere CRE