INVESTMENT HIGHLIGHTS
EXCELLENT LOCATION IN THE HEART OF A BUSTLING DEVELOPMENT
The Hampton Inn by Hilton Dallas-Irving-Las Colinas is a 135-room hotel located in the prestigious Las Colinas development in Irving, home to 12 Fortune 500 and Fortune 1000 headquarters, and numerous other leisure and group demand generators. Driving corporate demand to the area are the global headquarters for Fortune 500 companies such as Caterpillar, Commercial Metals, and Kimberly-Clark, all within 3 miles from the Hotel. The Verizon Corporate Office, located less than a mile from the Hotel and home to 2,000 employees, is an extensive complex with over 2 million square feet of office space spread across 51 acres. Pioneer Natural Resources is also headquartered in Las Colinas with a 1.1 million square-foot campus that houses 2,200 employees and generates $24.49 billion annually. Driving group demand to the market is the Irving Convention Center, which is located less than 2 miles away from the Hotel, and features 275,000 square feet of event space including a 20,000 square-foot grand ballroom. Driving leisure demand to Las Colinas is the Toyota Music Factory, an entertainment district that includes 300,000 square feet of retail and dining space, a 100,000-square-foot concert hall and an amphitheater with a capacity of 8,000 people, and 100,000 square feet of office space. The entertainment district, which is located less than 3 miles from the Hotel, is currently undergoing a $6 million upgrade to enhance its plaza and outdoor stage. Additionally, the Dallas Fort Worth International Airport, located 6.5 miles away, covers more than 26.9 square miles and is the 2nd largest airport by land area in the United States, as well as the 5th busiest by passenger traffic, serving 81.75 million passengers in 2023. The airport employs 2,300 people and has a significant economic impact of $38 billion.
STRONG PERFORMING ASSET WITH UPSIDE POST PIP
During the Trailing Twelve Month (“TTM”) financial period ending November 2024, the Hotel’s ADR of $117.30 trailed the sub-market by ~$18 and its RevPAR of $84.59, ranked 2nd in the competitive set. Despite consistently strong performance, there is room for improvement upon completion of a change-of-ownership PIP as the Hotel used to be the highest RevPAR hotel within the competitive set. The improved product offering, combined with continued market growth expectations, will likely lead to RevPAR and NOI levels far exceeding in-place metrics.
MANAGEMENT UPSIDE
Despite strong top line financial performance, the Hampton Inn by Hilton Dallas-Irving-Las Colinas achieved an NOI of just $861,207 (20.0% Margin) in the TTM November 2024 financial period. The Hotel is currently managed by a large 3rd party firm, presenting the Buyer with an opportunity to implement a revamped management strategy. With a more localized management approach, new ownership will be able to improve on efficiencies and lower costs compared to those of an out-of-state management company.
INSTITUTIONAL HILTON BRANDED ASSET
Hilton’s Hampton Inn brand is one of the strongest brands in the Hilton family. Premium branded assets have distinct competitive advantages compared to the rest of the market due to their large rewards and reservation systems as well as name recognition. All Hilton properties are backed by the Hilton Honors reward program which boasts over 200 million members across 24 brands and more than 7,600 hotels worldwide.
LISTING CONTACTS
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ABOUT HUNTER
Hunter Hotel Advisors is the leading investment advisory firm focused exclusively on the hotel industry. Their seasoned team of investment professionals and offices nationwide consistently provide clients with optimal results in hotel brokerage, financial advisory and capital markets services of any size or complexity. With over 45 years of experience in both full and select-service single assets as well as portfolio marketing, the firm’s capacity in valuation, economic analysis, and industry relationships has allowed HUNTER to consistently maximize value regardless of market conditions.
Hunter Hotel Advisors is the founder and producer of the well-known and respected Hunter Hotel Investment Conference. Since their first conference in 1989, they have had a consistent focus on producing an educational and networking format based on real estate and finance for hotel owners.
