Overview
HREC Investment Advisors (“HREC IA”) is pleased to offer, to qualified investors, the opportunity to acquire the 80-room Red Roof Inn Elkhart (“Hotel” or “Property”), situated at 2092 Cassopolis St, Elkhart, Indiana.
The acquisition of the Red Roof Inn Elkhart (the “Property” or “Hotel”) presents a buyer with the opportunity to purchase a cash-flowing economy grade asset in the South Bend/Elkhart submarket. The Hotel benefits from its location in the Michiana Region, with proximity to a wide range of demand generators, including the University of Notre Dame, Elkhart General Hospital, and manufacturing facilities like Forest River and THOR Industries. The Hotel represents a unique opportunity to enter an established market through a well-known economy brand.
Investment Highlights
Proximity to Diverse Demand Generators
The Red Roof Inn Elkhart benefits from its close proximity to key demand drivers in the South Bend Region. In addition to major colleges and universities, corporate demand generators such as Forest River, THOR Industries, NIBCO, and Conn-Selmer, provide jobs and drive innovation. Elkhart and South Bend are home to two major hospitals, one of which is Elkhart General Hospital, located less than five miles from the Hotel.
Strong Market Penetration
The Hotel currently outpaces its comp set in occupancy and RevPAR. As of the December 2024 TTM period, the Hotel penetrated the comp set by 159.1% in occupancy and 138.4% in RevPAR.
$14.5+ Billion Investment in Neighboring St. Joseph County
Two major developments are reshaping South Bend's economic landscape. Amazon Web Services is investing $11 billion in a data center campus. General Motors and Samsung are building a $3.5 billion EV battery complex. These investments underscore the region's role as a hub for innovation and economic advancement.
Offered Unencumbered by Management
The Red Roof Inn Elkhart is being offered unencumbered by a management agreement. An investor possesses the opportunity to bring in a new management company or to act as an owner/operator and seek to revamp the operational strategy of the Hotel, implement strategic cost control initiatives, and employ more aggressive yield management strategies.
Fee Simple Interest
The Property will be offered as fee simple.
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