Marcus & Millichap, a commercial real estate investment services firm with offices throughout the United States and Canada, sold a 120-room, extended-stay Candlewood Suites located in Fort Myers, Fla. The $11.35 million sales price equates to more than $94,500 per room.
“The Fort Myers hospitality market has experienced significant growth over the past several years and the seller captured the opportunity to take advantage of the hotel’s healthy performance,” Jonathan Ruprai, first vice president investments in Marcus & Millichap’s Tampa office, said in a statement. “The buyer took advantage of an opportunity to acquire a Candlewood Suites for below replacement cost and plans to complete a renovation in order to increase the hotel’s market share.”
Ruprai and Krone Weidler, also a first vice president investments in Tampa, represented the seller, a private investment group. Ruprai and Ahmed Kabani, first vice president investments in Miami, procured the buyer, AD1 Global.
“Buyers from throughout the hospitality property investment community were attracted to this asset by its strong net-operating income and consistent level of success,” Kabani said in a statement. “The acquisition provides new ownership with a healthy income stream and the opportunity to increase revenue over time.”
The hotel is located at 9740 Commerce Center Court in Fort Myers, Fla., near a number of demand generators including Gulf Coast University, Florida Southwestern State College and Shell Point Retirement Community. Nearby beaches include Fort Myers Beach, Sanibel and Captiva. Page Field Airport, Southwest International Airport and the Naples Municipal Airport are also within close proximity.
Built in 2009, the four-story Candlewood Suites received a certificate of excellence award from TripAdvisor in 2016.