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1335 S Main StAdrian, MI 49221
Hampton Inn & Suites
Asset ClassHotel & Hospitality
# Keys: 101Year Built: 2020Access Data Room
Below Market Cost Hilton Hotel in a Growing Michigan Corridor
overview of deal

Overview

The Hampton Inn & Suites – Adrian is a 101-room, 71,000 SF hotel built in 2020 and situated on 2.76 acres. The asset is priced approximately $5 million below its cost to build, a wide discount today given rising construction and financing costs, offering a rare opportunity to acquire a modern, PIP-free asset below replacement cost.

 

The hotel benefits from Hampton by Hilton's globally recognized brand and Hilton Honors loyalty program, providing a turnkey platform for an operator to step into a well-positioned limited-service asset without the capital burden typically associated with older Midwest product. With 17 years remaining on the franchise term, the buyer secures long-term brand stability alongside room for operational improvement, including labor optimization, revenue management enhancements, and service score gains that could meaningfully lift ADR and occupancy.

 

The property sits within the Ann Arbor/Jackson submarket, supported by a diversified demand base anchored by the University of Michigan, regional healthcare systems, and steady corporate and manufacturing-driven travel. Locally, Adrian's dual-university presence, ProMedica's regional hospital presence, and consistent manufacturing/auto-supplier activity support a balanced mix of leisure, corporate, and group demand that reduces seasonality.

 

This offering is further supported by favorable statewide tailwinds — Michigan generated $30.7 billion in visitor spending in 2024 with lodging spend up 6.2% year-over-year — providing a strong macro backdrop for continued ADR and RevPAR growth in secondary markets like Adrian.

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Investment Highlights

  • $5M below three-year replacement cost — offering a compelling basis below today’s construction and financing costs.
  • Turnkey Hilton entry — access to a globally recognized brand and Hilton Honors loyalty platform.
  • Operational upside — opportunities to optimize labor, revenue management, and service performance.
  • Recently built, modern asset — limited near-term PIP and capital requirements.
  • Diversified regional demand — Adrian College, ProMedica, manufacturing, and year-round corporate travel support midweek demand.
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1335 S Main StAdrian, MI 49221

Sales Team

Ryan J BodineSenior Vice President

License #: AZ - BR661940000 | UT - 11605059-PB00

(480) 236-9918ryan.bodine@newgenadv.com
Edward WalshDesignated Broker

License #: MI 6502348345

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