CBRE Hotels offers for sale the fee-simple interest in the 94-room TownePlace Suites Hattiesburg. Located adjacent to the University of Southern Mississippi, the Hotel benefits from its proximity to neighboring higher education and medical institutions, expansive government/military networks, and the city's primary commercial corridor along Interstate 59 and Hardy Street. Hattiesburg, known as the "Hub City," benefits from its central location and unrivaled connectivity, home to three Class 1 rail lines and proximate to four international airports and five Gulf of Mexico Ports.
Opening in 2016 as Marriott's "Opening Hotel of the Year" for its brand, the TownePlace Suites Hattiesburg is one of the top lodging options in the market given its premium build and premier extended-stay brand. This offering presents the unique opportunity to acquire an institutional-quality, premium extended-stay, management unencumbered hotel located in a rapidly expanding Sunbelt market.
Premium Build, Fee-Simple, Institutional-Quality Asset
Showcasing a modern design and efficient layout, the institutional-quality Hotel benefits from its premium build and recent vintage, delivering in 2016 as the "Opening Hotel of the Year" for the TownePlace Suites brand. With its superior product quality and location, the TownePlace Suites Hattiesburg has consistently outperformed its competitive set as illustrated by its 112% average RevPAR index over the past five years.
Dynamic Market with Diverse Demand Drivers
Traditionally known as a prominent college town, home to the University of Southern Mississippi, Hattiesburg has developed a diverse economy comprised of medical and higher education institutions, government/military apparatus, manufacturing and distribution operations, and a growing presence of financial services firms.
- Camp Shelby: largest National Guard training base in the eastern U.S. (hosts 100,000 personnel annually)
- University of Southern Mississippi: Division I, Public Research University
- Forrest General Hospital: 547-bed, Level II Trauma Center
- Significant manufacturing and distribution operations highlighted by General Dynamics, FedEx, Howard Industries, Coca-Cola and Pepsico Bottling plants, and Kohler Engines
- Growing financial services presence highlighted by Regions Financial Corporation and Jones Capital new headquarters facility
Compelling Supply/Demand Fundamentals
The Hattiesburg lodging market benefits from favorable supply dynamics, with muted recent supply growth and no new hotels under construction within a five-mile radius. Furthermore, the TownePlace Suites Hattiesburg's 2016 vintage is notably newer than its competitive landscape, which positions the Hotel to drive further market share and cash flow gains.
The Extended-Stay Segment Boasts Significant Tailwinds
The extended-stay segment is one of the fastest growing segments in the lodging industry among consumers, brands and investors alike. Its long-term historical growth trend has been robust with room revenues increasing at nearly a 9% CAGR since 2015, and demand has only accelerated post-2020 as travel patterns and hybrid work arrangements drive consumers' need for longer hotel stays at cost-effective price points.
Exceptional Marriott Branding
The TownePlace Suites Hattiesburg benefits from its affiliation with the world's leading hotel company, Marriott International, which comprises over 196 million rewards members and 1.6 million rooms throughout 8,800 properties in 139 countries. The Marriott Bonvoy network provides each individual hotel with a dynamic global distribution system, a powerful tool in attracting new business and building loyalty with repeat accounts.
Management Availability
The Hotel is offered unencumbered of management, providing maximum operational optionality for new ownership.
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