La Quinta Inn &
For Sale
Contact for pricing
Pending
104 N Lhs Dr, Lumberton, TX 77657
56-key hotel with recent renovations and revenue growth potential.
Property Size41,680 SF
Days on Market158
Property Features for 104 N Lhs Dr
General Information
Standard status
Pending
Size
41,680 SF
Property subtype
Hospitality
Occupancy
66%
Investment Type
Owner/User
Net Operating Income
$435,000
Building Details
Buildings
1
Stories
3
Listing Agency:
Matthews
Listed By:
Alfonso Garcia · License #TX 826978
Source:
Crexi
Added: Mar 20
Changed: Aug 22
Last Checked: Aug 23 at 10:32AM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of Matthews
Investment Insights
Based on property information with market context.
The La Quinta Inn & Suites Lumberton is a 56-key hotel located in Lumberton, Texas. In 2025, the hotel generated $1.45 million in room revenue. All guestrooms have been fully renovated, with only select common-area items remaining under the Property Improvement Plan (PIP). Ownership anticipates approximately 10% revenue growth in 2026 due to the improved product quality and full inventory availability. The hotel caters to business, medical, and leisure travelers. It benefits from its location next to Atrius Lumberton Hospital, which provides consistent demand from healthcare staff, traveling nurses, and visiting families. Additional demand comes from nearby industrial employers throughout the Beaumont and Golden Triangle energy corridor, as well as highway travelers along U.S. Highway 69/287. The property offers investors the opportunity to acquire a recently renovated, nationally branded hotel with stable cash flow and upside potential. The property size is 41,680 square feet.
Key Highlights
- Recently renovated guestrooms (completed full renovation).
- Strong revenue generation ($1.45 million in 2025).
- Nationally branded hotel (La Quinta Inn & Suites).
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$196,000
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
3.78%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$3,920,000
$3.9M
Cap Rate 7%
$2,800,000
$2.8M
Cap Rate 9%
$2,177,778
$2.2M
Market Conditions
NOI Build-Up for 41,680 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$550.2K $13.20/SF
− Vacancy
−$137.5K −$3.30/SF
EGI
$412.6K $9.90/SF
− OpEx
−$216.6K −$5.20/SF
NOI
$196.0K $4.70/SF
Area
Hardin County, TX
Vacancy
25.00%
Lease Rate
$13.20 /SF/Yr
Expense Ratio
52.50%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$3,920,000
Cap Rate 7%
$2,800,000
Cap Rate 9%
$2,177,778
Alternative Uses
Best Use
Hotel Hospitality
$2.80M
$2.45M – $3.27M
NOI $196,000 @ 7.0% cap · market cap 3.78%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$9.84M
$8.61M – $11.48M
NOI $689,020 @ 7.0% cap · market cap 13.30%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
165
Businesses Nearby
Explore this area
Business Placement
Demographics for 77657, TX
22,161
Population
9,044
Households
2.5
Avg Household Size
38
Median Age
26%
College-Educated
93%
High-School Grad
57.7 sq mi
ZIP Area
384
Density / Sq Mi
$93,225
Median Household Income
$55,129
Median Earnings
$1,039
Median Rent
$243,900
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Hotel - 56-key hotel with recent renovations and revenue growth potential.
Where is this hotel located?
The property is located at 104 N Lhs Dr Lumberton, TX.
What is the asking price?
The asking price for this property is $5,180,000.
What are key features of this property?
This property features: Recently renovated guestrooms (completed full renovation).; Strong revenue generation ($1.45 million in 2025).; Nationally branded hotel (La Quinta Inn & Suites).
