Sheraton Hotel Redding At Sundial Bridge - Redding Record ...
Sheraton Hotel Redding At Sundial Bridge - Redding Record ... Sheraton Hotel Redding At Sundial Bridge - Redding Record ...
Review of Comparable Sales The following table sets forth the adjustment grid used to account for differences between the transacted properties and the subject property. FIGURE 11-3 COMPARABLE SALES ADJUSTMENT GRID Elements of Comparison Subject Property Sale Price $32,000,000 $102,800,000 $12,300,000 $12,000,000 Number of Rooms 130 145 310 170 147 Price per Room $220,690 $331,613 $72,353 $81,633 Date of Sale November-10 November-10 January-10 July-09 Adjustments for Transaction Characteristics (Per Room) Property Rights Conveyed leasehold Fee Simple Fee Simple Fee Simple Fee Simple Adjustment (15.0) % (15.0) % (15.0) % (15.0) % Adjusted Sales Price 187,586 281,871 61,500 69,388 Financing Terms Cash Equivalent Cash Equivalent Cash Equivalent Cash Equivalent Adjustment 0.0 % 0.0 % 0.0 % 0.0 % Adjusted Sales Price 187,586 281,871 61,500 69,388 Conditions of Sale Normal Normal Normal Normal Adjustment 0.0 % 0.0 % 0.0 % 0.0 % Adjusted Sales Price 187,586 281,871 61,500 69,388 Market Conditions Similar Similar Similar Similar Adjustment 0.0 % 0.0 % 5.0 % 15.0 % Adjusted Sales Price 187,586 281,871 64,575 79,796 Adjusted Price $187,586 $281,871 $64,575 $79,796 Adjustments for Property Characteristics Sale #1 Sale #2 Homewood Suites Carlsbad North San Diego County, Carlsbad, California Sheraton Delfina Santa Monica, Santa Monica, California Sale #3 Sale #4 Sheraton Pleasanton, Pleasanton, California Holiday Inn Laguna Hills, Laguna Hills, California Location/Market Superior Superior Similar Similar Adjustment (10.0) % (15.0) % 0.0 % 0.0 % Market Orientation (RevPAR) $94.21 $113.33 $144.99 $46.08 $69.12 Adjustment (16.9) % (35.0) % 104.4 % 36.3 % Cumulative Percentage Adjustment (26.9) % (50.0) % 104.4 % 36.3 % Net Adjust. for Property Characteristics (50,405) (141,003) 67,446 28,964 Final Adjusted Unit Price $137,182 $140,868 $132,021 $108,760 Adjustments have been applied to each of the comparable sales, based on the characteristics of the transaction, including market conditions and property complexity and issues. All sales were adjusted downward by 15% to account for February-2011 Sales Comparison Approach Sheraton Hotel Redding At Sundial Bridge – Redding, California 104
Conclusion the subject’s leasehold position. Sale #4, which occurred prior to 2010, was adjusted upward by 15.0% and sale #3, which occurred in early 2010, was adjusted upward by 5%. Further adjustments have been applied based on the characteristics of each property, as compared to the subject property. Sales #1 and #2 were adjusted downward by 10% and 15%, respectively, to account for the subject’s inferior location. The adjustments for property characteristics include a RevPAR adjustment. Hotels are purchased and sold based on their ability to generate revenue and net income. RevPAR inherently reflects each comparable sale’s relative revenue-producing ability, the primary consideration of hotel purchasers. The best way to adjust comparable hotel sales is to calculate the difference between a comparable hotel’s RevPAR at the time of sale and the subject property’s RevPAR. We have adjusted the per-room sales price for each sale by the percentage differential between the subject property’s stabilized RevPAR and that of each property at the time of its sale. Prior to adjustments, the comparable sales transacted for amounts ranging from $72,000 to $332,000 per room. Following quantitative and qualitative adjustments, the comparables ranged from $109,000 to $141,000 per room. we have concluded a value of $135,000 per room, or $17,600,000, for the 130-room subject property. February-2011 Sales Comparison Approach Sheraton Hotel Redding At Sundial Bridge – Redding, California 105
- Page 53 and 54: FIGURE 6-5 NEW SUPPLY DEMAND Propos
- Page 55 and 56: FIGURE 6-8 AVERAGE ANNUAL COMPOUNDE
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- Page 59 and 60: occupancy rate has been positioned
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- Page 79 and 80: available room. We expect the propo
- Page 81 and 82: INCOME CAPITALIZATION Mortgage Comp
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- Page 85 and 86: Terminal Capitalization Rate 20% fo
- Page 87 and 88: Mathematical Proof of Value The val
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- Page 91 and 92: Derived Capitalization Rates FIGURE
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- Page 101 and 102: Sale#2 Sheraton Delfina Santa Monic
- Page 103: Sale#4 Holiday Inn Laguna Hills Lag
- Page 107 and 108: FIGURE 12-1 SUBJECT PROPERTY CONSTR
- Page 109 and 110: FIGURE 12-2 SUMMARY OF HOTEL GROUND
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- Page 113 and 114: Pre-Opening and Working Capital Cos
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- Page 117 and 118: yet, in fact, exist as of the date
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- Page 127 and 128: COMMERCIAL SEGMENT PROJECTIONS (YEA
- Page 129 and 130: NI = Net income available for debt
- Page 131 and 132: NI 1 - (f x M x V) = de 1 NI 2 - (f
- Page 133 and 134: Using these known variables, the fo
- Page 135 and 136: Page 2 Suzanne R Mellen 01/10/2011
- Page 137 and 138: Page 4 Suzanne R Mellen 01/10/2011
- Page 139: Addenda Requirements - certificatio
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- Page 145 and 146: Elaine Sahlins EMPLOYMENT 1997 - pr
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Review of Comparable<br />
Sales<br />
The following table sets forth the adjustment grid used to account for differences<br />
between the transacted properties and the subject property.<br />
FIGURE 11-3 COMPARABLE SALES ADJUSTMENT GRID<br />
Elements of Comparison<br />
Subject<br />
Property<br />
Sale Price $32,000,000 $102,800,000 $12,300,000 $12,000,000<br />
Number of Rooms 130 145 310 170 147<br />
Price per Room $220,690 $331,613 $72,353 $81,633<br />
Date of Sale November-10 November-10 January-10 July-09<br />
Adjustments for Transaction Characteristics (Per Room)<br />
Property Rights Conveyed leasehold Fee Simple Fee Simple Fee Simple Fee Simple<br />
Adjustment (15.0) % (15.0) % (15.0) % (15.0) %<br />
Adjusted Sales Price 187,586 281,871 61,500 69,388<br />
Financing Terms Cash Equivalent Cash Equivalent Cash Equivalent Cash Equivalent<br />
Adjustment 0.0 % 0.0 % 0.0 % 0.0 %<br />
Adjusted Sales Price 187,586 281,871 61,500 69,388<br />
Conditions of Sale Normal Normal Normal Normal<br />
Adjustment 0.0 % 0.0 % 0.0 % 0.0 %<br />
Adjusted Sales Price 187,586 281,871 61,500 69,388<br />
Market Conditions Similar Similar Similar Similar<br />
Adjustment 0.0 % 0.0 % 5.0 % 15.0 %<br />
Adjusted Sales Price 187,586 281,871 64,575 79,796<br />
Adjusted Price $187,586 $281,871 $64,575 $79,796<br />
Adjustments for Property Characteristics<br />
Sale #1 Sale #2<br />
Homewood Suites<br />
Carlsbad North San<br />
Diego County,<br />
Carlsbad, California<br />
<strong>Sheraton</strong> Delfina<br />
Santa Monica,<br />
Santa Monica,<br />
California<br />
Sale #3 Sale #4<br />
<strong>Sheraton</strong><br />
Pleasanton,<br />
Pleasanton,<br />
California<br />
Holiday Inn Laguna<br />
Hills, Laguna Hills,<br />
California<br />
Location/Market Superior Superior Similar Similar<br />
Adjustment (10.0) % (15.0) % 0.0 % 0.0 %<br />
Market Orientation (RevPAR) $94.21 $113.33 $144.99 $46.08 $69.12<br />
Adjustment (16.9) % (35.0) % 104.4 % 36.3 %<br />
Cumulative Percentage Adjustment (26.9) % (50.0) % 104.4 % 36.3 %<br />
Net Adjust. for Property Characteristics (50,405) (141,003) 67,446 28,964<br />
Final Adjusted Unit Price $137,182 $140,868 $132,021 $108,760<br />
Adjustments have been applied to each of the comparable sales, based on the<br />
characteristics of the transaction, including market conditions and property<br />
complexity and issues. All sales were adjusted downward by 15% to account for<br />
February-2011 Sales Comparison Approach<br />
<strong>Sheraton</strong> <strong>Hotel</strong> <strong>Redding</strong> <strong>At</strong> <strong>Sundial</strong> <strong>Bridge</strong> – <strong>Redding</strong>, California 104
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