Investment opportunity to acquire the fee simple interest in The Inn Above Oak Creek at 556 State Route 179 in Sedona, Arizona. This award-winning property is an absentee-owned 13-room boutique inn situated on approximately 35,284 square feet along the iconic Oak Creek.
Contact the brokers to request the Offering Memorandum. Asking price is $5.4 million.
The Inn is located in the heart of Sedona on SR 179, within easy walking distance from Sedona’s best art galleries, boutique shops, several fine restaurants and the Tlaquepaque Arts & Crafts Village.
The Inn contains 13 rooms in total, consisting of seven Creekside rooms, four Red Rock rooms, the Oak Creek suite and “The Bonus” room. Each of the 13 rooms include private baths with single or double whirlpool tubs, queen or king size beds with Spring Air “Back Supporter Pillow Soft” mattresses, free Wi-Fi and flat panel TVs. Select rooms feature private decks overlooking the picturesque Oak Creek.
Guests have access to the inn’s lobby, dining areas, and large deck providing views of Oak Creek and the famous red rocks of Sedona. Guests also have access to a private Creekside park with hammocks, Adirondack chairs and BBQ grills.
The Oak Creek Suite was built by a former owner as his residence and is one-of-a-kind. The suite is approximately 1,500 square feet and features a gourmet kitchen, a large master bath, private entrance, and two balconies overlooking Oak Creek, along with many other amenities. This is currently being rented out but could certainly serve as a beautiful residence for future owners. The Inn also has a separate room for a live-in innkeeper (not included into the total), which is connected to a full commercial kitchen.
The Inn is positioned well for growth under new ownership. It is currently absentee-owned and an owner-user has the opportunity to increase efficiencies in the operation.
Current ownership does not host events, but due to the inn’s ideal location, they receive many requests for weddings and various events. Historically, the inn has operated off relatively high occupancy, averaging over 85 percent the past two years. New ownership has the opportunity to increase ADR to achieve a higher RevPAR, even if it results in a drop in occupancy percentage.
Sedona straddles the county line between Coconino and Yavapai Counties in northern Arizona. The city is approximately 30 miles south of Flagstaff and 115 miles north of Phoenix. Sedona is a tourist destination, with the spring and fall months as peak seasons. However, it is also a popular spot in the winter for visitors seeking traditional winter weather, and in summer for travelers looking to escape the extreme heat in nearby cities to the south. The city can be accessed by State Route 89 and is a short drive from Interstate 17 (north-south) and Interstate 40 (east-west).
Tremendous creekside location near AZ Hwy 179
High performance inn with 2020 growth, despite COVID-19
Revenue and net income upside
Very high barrier-to-entry market
One-of-a-kind suite that can be converted to living quarters
Absentee-owned
Top-rated Sedona hotel on Trip Advisor
