Property Listing No Longer Available for Sale

Lordsburg, New Mexico, Lordsburg, NM

Motel for Sale - $499,000


Property Info

CIMLS#120706
Location
  Lordsburg, New Mexico
  Lordsburg NM 88045
UpdatedSeptember 1st, 2010
TypeMotel
Price$499,000

Property Description

Price Reduced: 2 Motels and Restaurant in Lordsburg, New Mexico. The properties can also be purchased separately. The Desert West and Starving Marvin Restaurant is located at exit 5 on Interstate 10. The Desert West Motel has 60 units which was renovated in 2008. During the renovations, the owner have put approximately $40,000 in property improvements. The property sits on 4 acres +/-, it is a one story building with a pool. Approximately 25 rooms still need to be remodeled. This motel and restaurant can be purchased for $485,000. That under $8,000 per unit. Property was closed when purchased. Before the property was closed in 2001, it was appraised for $760,000 (without the restaurant). The restaurant opened in late March 2009 and has seen an increase in customer and revenue.

The Economy Inn sits 17 miles North from the Desert West Motel also on I-10. The Economy is 30 Unit Motel on 1 acre +/-. It is a one story building with exterior corridors. Each room has Hi-speed internet connection, telephone, local cable, microwave and fridge. The Economy Inn was purchased when it was closed down and the new owner renovated the property and reopened it in late December 2008. The owner put in approximately $15,000 in improvements. The room revenue has continued to rise as the 2009 progresses. This property can be purchased for $99,000. That is only $3,300 per unit.

The owner are continuing to make improvements on both of the properties. They are in the process of getting Highway signs in front of the exits for more visibility when traveling on I-10. The properties do not have website nor are they on any major travel internet sites. With a solid marketing plan, a new owner can continue to grow these properties. At the current asking price with a 25% down payment, the property has a Return on Investment of 73% for both motels & restaurant. That would leave a new owner with Net Cash Return of $83,350 after debt service. At this rock bottom price, the proeprties are being sold "AS-IS" and is firm on the price.


Financials