A Chinese owner-operator acquired the Rodeway Inn at 4559 W. US 192 in Kissimmee last week for $2.05 million, the fifth hotel to sell in Osceola County this year and fourth along the W192 tourism corridor.
The buyer, Bing 1 Hotel LLC, was founded in mid-July by managing members Bing Huang Wang and Jiafu Zhuang. Neither returned calls and e-mails for comment last week, but front desk staff confirmed that Wang was active in renovation work at the hotel.
Built in 1984, the Rodeway Inn had 114 rooms as of last year, reflecting a price of $17,982 per key for the acquisition. The property was formerly owned by New Orleans-based Chen-Horng Lee and Chin-Li Lee, a couple who have also owned economy-scale motels in Louisiana.
That sale follows Delray Beach-based Hudson Holdings' $6 million acquisition in late July of the 403-room HomeSuiteHome hotel at 5565 W. US 192. The company plans to invest $10 million in renovations and new retail space along its highway frontage, and will reportedly will take on the Doubletree by Hilton flag, GrowthSpotter reported Aug. 28.
On May 29, an affiliate of California-based SGI Partners spent $4.57 million on the 200-plus-room America's Best Inn Main Gate East. The property has been added to a portfolio of hotels managed by Kissimmee-based Carter Hospitality, an affiliate of SGI Partners. Weekly rates have increased significantly at the hotel since Carter took over, said David Buchheit, executive director of the West192 Development Authority.
And on April 17, 4.19 acres that include the 50-room Super 8 Kissimmee at 1815 W. Vine St. were bought for $3.25 million by a family owner-operator, under the name Kabhideeps LLC.
While those property sales along W. US 192 don't match up to the hundreds of millions of dollars spent so far this year on hotels in the International Drive corridor, lodging statistics for the Kissimmee West area show it's a positive time to invest.
While room inventory for Kissimmee West has remained stagnant since January (5,836), year-on-year growth for monthly occupied room nights is up an average of 11.4 percent through the first seven months of this year, according to data from Visit Orlando and Smith Travel Research.
Kissimmee West, a region set by STR that includes the area south of Disney along I-4 and the western portion of US 192, reported a monthly occupancy rate of 77.5 percent in July, up 24 percent from the year prior.
Average Daily Rate (ADR) for Kissimmee West has been $66.65 through the first seven months of this year, up 3.57 percent from the same period a year ago.