La Quinta Inn & Suites by Wyndham Pharr – Rio Grande Valley in Pharr, TX Listed for Sale

HVS Brokerage & Advisory, as the sole and exclusive advisory firm to ownership, presents the opportunity to acquire the 106-key La Quinta Inn & Suites by Wyndham Pharr RGV Medical Center, a limited-service hotel asset situated in Pharr, Texas. The property, having recently received over $2 million in updates, is currently owner-operated, and it will be sold without management encumbrances.

Strong Performance

• The hotel generated an average rooms revenue of $2,535,739 for the three-year period of 2021 through 2023.

• For the trailing twelve-month period ending March 2024, year-over-year rooms revenue increased 13.2%.

• Per the February 2024 STR report, the hotel’s TTM RevPAR increased by 9.5%, compared to the broader McAllen/Brownsville market’s 3.3% growth, while the competitive set’s RevPAR level shrank by 7.3%.

La Quinta Inn & Suites by Wyndham Franchise

• Upon approval from the franchise, an investor can expect a new, long-term license agreement with Wyndham Hotels & Resorts.

• La Quinta by Wyndham is a well-established, limited-service, upper-midscale hotel brand that appeals to both business and leisure travelers. The brand’s RevPAR index averages over 100.0% nationally, and franchisees benefit from the 100 million Wyndham Rewards members to help drive guest stays.

Well-Maintained, High-Quality Physical Product at a Discount to Replacement Cost

• Recent renovations exceeding $2 million by current ownership have lowered the expected expense associated with Wyndham's change-of-ownership property improvement plan (PIP).

• This opportunity presents an investor with the ability to acquire the property at a price well below replacement cost at $80,189.

Excellent Interstate-Adjacent Location in the McAllen Market

• The property benefits from excellent visibility and accessibility given its location along the Interstate 69C (I-69C) frontage road, south of the interchange with Interstate 2. I-69C is a major thoroughfare project that, once complete, will connect Pharr to Central Texas.

• The McAllen/Reynosa International Metro, also known as the Borderplex, is a significant manufacturing hub featuring 29 industrial parks that house major companies like TI Automotive, Delphi Teck, Panasonic, General Electric Aviation, and Stanley Black & Decker, among others. The Borderplex supports a manufacturing labor force of roughly 136,000 workers across the automotive, aerospace, medical, and electronics industries.

• McAllen's aerospace industry employs over 3,000 individuals, with key players such as General Electric Aviation and SpaceX highlighting the region's advancement and growth in the industry.

• The population in the Rio Grande Valley (RGV) is projected to nearly double by the year 2045 (from 1.3 million to 2.4 million on the U.S. side), driven by significant employment growth, according to the Edinburg Economic Development Corporation.

Transformative Developments Reshaping the Rio Grande Valley’s Economic Landscape

• After several years of lobbying and organizing, The University of Texas–Rio Grande Valley, which includes a four-year medical school, was created from a merger of The University of Texas at Brownsville and The University of Texas–Pan American in Edinburg. The institution has a current total enrollment of over 32,000 students.

• Other educational institutions, such as South Texas College and the Texas State Technical College, also provide higher-education opportunities to the local workforce, as well as attract educated transplants​.

• McAllen is positioning itself as a medical research hub, leveraging existing healthcare infrastructure that includes Doctors Hospital at Renaissance (DHR) Health System, featuring an 83,000-square-foot research facility; Rio Grande Regional Hospital; South Texas Health System; and UnitedHealth Group, which collectively employ over 31,000 medical professionals. The University of Texas Rio Grande Valley School of Medicine was launched in 2016 and had received full accreditation as of June 2023.

• SpaceX's establishment in Brownsville marks a pivotal economic development within the Rio Grande Valley, creating aerospace industry jobs and ancillary growth and investment​​.

• Domain Development's over $120-million The District at North Park Village, a mixed-use hub that will offer upscale retail, dining, and luxury residences, inspired by other urban developments such as San Antonio's Pearl District, is set to invigorate North McAllen.

For inquiries please visit here to execute the Confidentiality Agreement.

Posted by Nevistas News on April 11, 2024.

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