Hampton Inn Kinston Listing Details & Market Data

Property listed by Bryan Johnson License number: NC 271733

Property offered as part of a portfolio sale with Hampton Inn Kinston, NC.

Property tours are by APPOINTMENT ONLY. Any attempts to visit/contact property without agent approval will result in a ban from all future listings! Prospective buyers can view financial history including revenue, NOI, ADR, and Occupancy by clicking "Download OM" and signing a confidentiality agreement. This property is currently listed as unpriced. NO PRICING GUIDANCE IS AVAILABLE. Ownership will review and respond to all offers and ultimately select the offer with the best price and terms.

Colliers, as an exclusive representative of the seller, is pleased to present to qualified investors for sale the portfolio of Holiday Inn Express and Suites by IHG and Hampton Inn by Hilton of Kinston, North Carolina. The properties are located at 1156 Hill Farm Road (Holiday Inn Express) and 1382 US-258 (Hampton Inn) in Kinston, NC 28504, respectively (hereafter, the “Hotel/s” or the “Asset/s”). The hotels are offered with fee-simple interest, unencumbered by third-party management. The hotels are currently encumbered by senior and mezzanine loan vehicles that can be assumed at closing or defeased by ownership at closing. Given the loan vehicles are cross collateralized between the two assets, both assets must sell simultaneously as a portfolio (not available as individual assets unless simultaneously closings occur).

The Holiday Inn Express sits on a 1.58-acre lot and is located on Hills Farm Road and Dodson Drive and nearby W Vernon Avenue (32,000 Vehicles Per Day). The hotel is a 74-key, three-story, interior-corridor IHG hotel constructed in 1999 and renovated extensively in 2021. Ownership invested approximately $1,500,000 into the property improvement plan (PIP) in conjunction with a relicensing agreement from IHG to continue to Holiday Inn Express franchise. The agreement was signed in March of 2018 and included a ten-year franchise agreement through 2028. As part of the renovation, all areas of the hotel were renovated, including a new roof. All guest rooms will be delivered in rentable condition. Given the extensive renovation efforts completed at the hotel, it is expected that a prospective purchaser can retain a long-term franchise agreement for the Holiday Inn Express & Suites franchise from IHG minimal-to-no change-in-ownership PIP.

Prior to the COVID-19 pandemic, the Holiday Inn Express penetrated the market as a top performer, achieving revenues of more than $35,000 per key with RevPAR exceeding $96. For reference, in 2019, the hotel achieved nearly $2,600,000 in room revenue with an adjusted net operating income of approximately $930,000 after management fees and replacement reserves. However, the hotel struggled to return to its pre-pandemic revenue, despite having underwent significant renovations as part of a relicensing PIP with IHG. The hotel is currently being managed by a regional third-party management company on behalf of an ownership profile whose primary focus is non-real estate and non-hotel focused, presenting an operational upside opportunity for the right purchaser profile who may take a more hands-on approach with sales and marketing efforts to return the financial metrics of the hotel closer to its pre-pandemic levels.

The Hampton Inn by Hilton sits on a 5.38-acre lot and is located at the interchange of US Highway 258 S (9,300 Vehicles Per Day) and W New Bern Road (20,000 Vehicles Per Day). The hotel is a 122-key, four-story, interior corridor hotel constructed in 1986 and extensively renovated from 2019-2021. Ownership completed a substantial relicensing property improvement plan with Hilton and dramatically renovated all areas of the hotel after the hotel shut down in Q4 2018 because of damage caused by Hurricane Florence