The Suburban Lodge in Bentonville, Arkansas opened its doors during a very bad economic time. The distressed nature of the property is not because of the hotel itself, but because of the economy. The new property features the latest prototype in the Choice Hotels extended stay segment. The four-story, interior corridor hotel offers all of the amenities necessary for the extended stay client. Flat screen HDTV’s and high-speed internet access are featured throughout. The hotel offers sprinkler systems both inside and out.
Priced at under $26,000 per key, this property is listed 40% below its cost to build. The original investment was over $5.5 million. The extended stay model, such as Suburban Lodge and Candlewood, has demonstrated NOI ratios of over 50%, upon stabilization. As a result, once stabilized, this hotel should be no different. The hotel also offers re-branding opportunity. It shows very well and will impress anyone who is familiar with this business model.