Motel 6 in Wheat Ridge Sells for $6,150,000

Sold

$6,150,000

August 14, 2024

Announcing the Sale of Motel 6, Located at 9920 W 49th Ave in Wheat Ridge, Colorado

Denver, CO – September 26, 2024 – Alex Kovacs, CCIM, Commercial Broker & Advisor at Madison Commercial Properties, is pleased to announce the sale of the 94 room Motel 6, located at 9920 W. 49th Avenue in Wheatridge, in the northeast quadrant of I-70 and Kipling Parkway. Alex Kovacs represented the seller, Wheat Ridge Hotels LLC. The purchaser was CF Hospitality Inc., a local buyer doing a 1031 exchange.

The sale included a 94-room franchise hotel originally constructed in 1980. PIP requirements were nominal, and a major card activated security fence and access gates were installed at the time of purchase, providing excellent privacy for the budget oriented I-70 property.

The two-story hotel is a classic economy brand property that is a surprisingly profitable hotel in today’s challenging operating environment. Its limited amenities allow it to have a much higher bottom line than higher end franchise hotels are achieving at the current time.

The buyer was happy to add this property to their portfolio with a vision to increase value from property updates through local hands-on management, and from the fact that many of the Denver area’s Motel 6 branded hotels are being converted to other franchises. The Motel 6 brand is highly recognized throughout the country, so this hotel can be expected to improve on an already high occupancy.