MCM Eleganté Hotel & Suites Lubbock in Lubbock, TX Listed for Sale
CBRE Hotels is soliciting offers to acquire the fee-simple interest in the MCM Eleganté Hotel & Suites in Lubbock, Texas. The property is located just south of US-82, within walking distance of the Buddy Holly Performing Arts and Sciences, and several restaurant and recreation area. This prime location allows the hotel to receive business from a diverse population of both transient and leisure segments.
Investment Highlights
- Unencumbered by Brand and Management – The Hotel is being sold unencumbered by brand and management. Several conversion opportunities available including IHG, Marriott, Wyndham, Sonesta and Best Western. The property is expected to sell significantly below replacement costs. Please contact broker for details.
- Seller Financing Available – Seller financing with $33.33% down payment of acquisition cost and a 6.00% interest rate is included in this offering. The term details are provided in the data room. Please ask brokers for more information.
- Underperforming Nearby Hotels – The hotel is significantly underperforming nearby hotels. As of the TTM November 2024, the DoubleTree’s RevPAR is 233% higher and the Hilton Garden Inn’s RevPAR is 208% higher than the MCM Hotel.
- Significant Management Upside – The hotel will be offered unencumbered by management, allowing the opportunity for a more hands-on owner operator to drive significant value through improvements in operational efficiencies and rate management.
- Prime Location – The hotel is located in the heart of downtown Lubbock and is in proximity to the area’s top demand generators, including Texas Tech University, South Plains Mall, United Supermarkets Arena, UMC Health System, and the Buddy Holly Performing Arts and Sciences.
- $1 Billion Cheese Plant Underway – Leprino Foods, one of the largest producers of mozzarella in the world, broke ground on $1 billion cheese plant in East Lubbock in June 2022. The company executives say the plant will generate $10.6 billion in the area over the next 10 years. Additionally, the 850,000 SF facility is projected to bring in 300 construction jobs and more than 600 employees when it is operational.
For inquiries visit CBRE.
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