July 15, 2022
Announcing the Sale of Rodeway Inn in Brush, CO.
Denver, CO – July 25, 2022 – Madison Commercial Properties is pleased to announce the sale of the Roadway Inn, located at 1208 N. Colorado Avenue, in Brush, Colorado. The economy Choice franchise hotel was constructed in 1967, and has 44 units. The property sold on July 15, 2022 for $1,499,000, which equates to $34,068 per unit. The Gross Income Multiplier was approximately 3.0, based on 2021 revenue. SBA financing was provided by the Colorado office of Los Angeles based Hanmi Bank.
Alex Kovacs, CCIM, Commercial Broker & Advisor with Madison Commercial Properties, acted as Transaction Broker in the transaction.
“The buyer is an out of State hotelier, who owns similar properties in Wyoming. They were attracted to the property due to its favorable price per unit. There are also very few available franchise hotels at this price point located along interstate corridors near Denver. The hotel has significant revenue upside after some improvements are made to the property and has been maintained in an average condition, with approximately $50,000 or less of PIP required for the franchise transfer. The owner will likely convert the hotel to a Days Inn franchise in the near future,” stated Alex Kovacs, CCIM, Commercial Broker & Advisor with Madison Commercial Properties.