Ness City Motel With Great Financial Potential For Sale

Business description

FINANCIAL INFORMATION: With an Occupancy of approximately 47.4%, and an Average Daily Rate (ADR) of about $45.00, the Derrick Inn’s current 12-Month ‘trailing’ Guestroom and Restaurant Lease Revenue is approximately $280,000.00. After two years of declining revenues, caused by the lengthy recession, this property’s business is increasing again. Still a Buyer’s Market - now is the time to purchase this hotel.

TERMS: Asking Price is $595,000. Cash, Conventional, or SBA.

LOCATION: 409 E. Sycamore, also Kansas Principal Hwy 96 [east/west], and U.S. Hwy 281 [north/south]. Ness City, the seat of Ness County, is located in the heart of America’s ‘bread-basket.’ With the fertile agricultural environment and increasing oil & natural gas exploration/ production this motel offers an exciting and profitable business potential. Ness City is an active community with great schools, a golf course, and manifold recreational facilities in place; it is a mere 7.5-mile drive from the Goodman State Fishing Lake & Wildlife Area. Bird and game hunting are world-class in the region. This is a great place to bring up a family or simply to retire from hectic big-city life.

Ness City, the seat of Ness County, is unique among the towns of Western Kansas simply stabilized and continued to grow during other towns’ population shifts to metropolitan areas. Served by the Central Kansas Railway, the town’s friendly attitude and busy downtown area attract shoppers from a wide region. Oil & Natural Gas exploration and production, as well as farming and ranching are the most dominant part of the local economy.

DERRICK INN IMPROVEMENTS: The hotel features 42-guestrooms, including two (2) suites, in a sound two-story building. All guestrooms have interior entrances, and the ground-floor units provide exterior entrances as well. Built in 1983 by a Kansas oilman, the property offers a front lobby with reception desk and back-office. A fully enclosed atrium in its center has an indoor pool, a hot tub, and a game room. A meeting room serves local and regional business, as well as city service organizations.

Maintenance shop, hotel laundry, new carpeting in public areas and certain guestrooms, plentiful parking, and natural-gas water heat are in place. Individual guestroom thermostats control central air and heat.

UTILITIES: City Water & Sewer (billed quarterly) averages annually about $10,665; Natural Gas and Electricity approx. $45,166 annually; Waste Removal $3,329; Telephone & Cable TV $11,493, including mostly personal calls.

PROPERTY TAXES: 2010 Property Taxes (Real Estate & Personal Property) including Bar & Restaurant FF&E, were $25,575. It should be noted that the Seller has never appealed/protested the Taxes.

ANNUAL HAZARD & LIABILITY INSURANCE: Approximately $11,960.

Property information

Real Estate:

Real Property Included

Other information

Related documents:

• 
• Document