Colliers International is pleased to present for sale the Best Western InnSuites Phoenix Hotel & Suites (“the Property”), located at 1615 E. Northern Ave., Phoenix, AZ 85020, at the Northern Avenue exit of State Route 51. This is the closest Best Western hotel to the Best Western Global Headquarters and located in an area of world-recognized upscale resorts. The full-service hotel offers 120 suite style guest rooms, conference facilities, complimentary full breakfast, resort style pool and spa, 24-hour fitness facility and guest laundry.
The suites hotel property is strategically situated as the first hotel property off State Route 51 at the Northern Avenue exit, just 15 minutes from Sky Harbor International Airport. This north central area of Phoenix is home to a variety of upscale resorts, including the Arizona Biltmore, Pointe at Squaw Peak and Marriott Camby Hotel. The property is located nearly adjacent to a five-star resort and frequently accepts its overflow guests.
The seller increased the room count by 10% during ownership and recently installed new laundry equipment and back of house equipment. Revenue is up 45% year over year for April YTD and low expenses result in 45% of profit flowing to the bottom line. The Property is on track to do 4,000,000+. Even without any new supply or renovations, the comp set has positive growth in ADR and RevPAR. The area’s increase in upscale hotels will further push ADR for the market.
The Phoenix market has experienced a 4.1% increase in demand for Midscale Assets due to rising rack rates and events. One of the property’s competitors converted their hotel into a Senior Housing project, further constricting supply in a tight market with rising demand and no new midscale properties planned.
