Ramada Hotel & Spa Galena

11383 W, US-20, Galena, IL

$5,750,000

Price

9.92%

Cap Rate

$570,489

NOI

Overview
Cap Rate
9.92%
NOI
$570,489
Building Size
68,740 sqft
Lot Area
9.5 acres
Keys
72
Year Built
2000/2016
Price Per Unit
$79,860
Management
Unencumbered
Floors
2
Description

Investment Overview:

The Ramada by Wyndham Hotel, AuClair Banquet, and Day Spa is a unique opportunity, much more than a hotel, which generates revenues from various sources throughout the facility. There are 72 rooms with a minimal change of ownership PIP from Wyndham along with the banquet/ wedding/conference center, large lap pool and spa area, gaming lounge, market and sundries shop, and a day spa (leased), which all create revenue streams for the ownership. There have been significant improvements (over $500,000) made to the grounds and property, which are highlighted on page 13 of the package. The current owner has streamlined operations and cut expenses, which shows in the improving NOI. A new investor can continue to increase this bottom line by maintaining standards and by doing proper revenue management.

Property Overview:

The Ramada by Wyndham Hotel, AuClair Banquets, and Day Spa is a 72-room, select-service, midscale, interior corridor hotel. The hotel has many great common area and guest room amenities throughout the property. Common area amenities include a full-service spa and hair salon (leased), indoor lap pool and spa, fitness center, business center, gaming lounge, garden, rentable conference space, a sun deck, and free continental breakfast. A few of the guest room amenities are a flat-screen TV with cable channels, a workspace, and lounging area. “AuClair” at the Ramada Galena, features over 5,000 square feet of meeting/banquet space, along with a 3,500-square foot deck/patio that overlooks the grounds and pond below. The site is a favorite in the area for group events, as well as weddings. A new parking lot was engineered and added to the property last year, which allows larger groups to take advantage of the facilities, without having to park off-site. This is Galena’s first green parking lot. The lap pool and spa are also favorite among guests and locals, who pay a membership to use the facilities for water therapy and/or recreational use daily. The Day Spa on-site is an Aveda certified spa and hair salon, which has a long term lease. Some of the services include: hair, nails, massages, and makeup. Wedding guests can setup appointments for various services while they stay at the hotel, truly making this property a resort and destination hotel. The hotel also features a market for sundries and other refreshments that can be purchased near the front desk, along with a gaming lounge that was added last year, providing additional entertainment for guests.

Location Overview:

Galena, Illinois is a city in Jo Daviess County located in the northwestern part of Illinois. Ramada Galena Hotel and Day Spa is located off US Highway 20 near Industrial Drive. The hotel is positioned near many of the cities biggest employers and top revenue generators including Galena Golf Club (1.5 miles), Midwest Medical Center (1.8 miles), Linmar Gardens (2.3 miles), Chicago Athenaeum (2.3 miles), Downtown Galena (2.8 miles), Ulysses S Grants home (2.8 miles), Blaum Bros Distilling Company (3.5 miles), Galena Antique Mall (5.1 miles), and a Little General, a miniature golf course a short walk away (0.3 miles).

Highlights
  • 72-Room, Midscale Hotel
  • Over Nine Acres of Land with Landscaped Grounds and a Pond On-Site
  • One of the Largest Banquet and Wedding Venues with the First Green Parking Lot in Galena
  • Large Lap Pool and Spa Area
  • Gaming Room that Brings in Additional Revenues
  • Day Spa On-Site for Locals and Guests
Documents
Title
Ramada Galena Exec Summary.pdf
Location
Gallery