Pricing a 19 unit, workforce housing motel

[Parker Fairfield]

I'm considering selling my Duck-Billed Platypus.

It's a 19 unit motel, which is 100% occupied for years, rented as workforce housing. With a paid waiting list!

The average "guest" has lived more than 593 days (as of 8/21/2022).

The property is 3.2 acres in North Conway, NH. In addition to the 19 units, it has a laundromat with vending machines, an in ground swimming pool, and a 3BR, 3BA owner's house (around 2700 square feet).

A massive benefit to being, legally, a motel, is that we have 'guests', not 'tenants'. So if they don't pay, we call the local police and they get 'ejected' (and they are not legally entitled to be evicted)... which means the police escort them off the property in an hour or so.

We need to do basic maintenance... cut the grass, plunge a stopped toilet, etc. Then when a guest checks out (about 1 room a year), we throw away all the bedding and replace it ... clean the room, and start with a new guest. We only clean a room one time for a new guest. They're responsible from then on.

NOI = $245,000+ / year

Using the business appraiser's formula, the price should be about $3m to 3.5m (that formula was used by the bank that gave me the mortgage). I updated their estimates with actuals.

https://bit.ly/2022THPvactual.

I'm willing to hold some back.