122-Room Holiday Inn Express
New
For Sale
Contact for pricing
1175 Technology Drive, O Fallon, MO 63368
Brand-approved renovation completed at a 2004 hotel within C-2 zoning in O’Fallon.
Property Size65,872 SF
Price / SF$201.15
Days on Market7
Property Features for 1175 Technology Drive
General Information
Standard status
Active
Size
65,872 SF
Property subtype
Hospitality
Zoning
C-2
Occupancy
62%
Net Operating Income
$1,181,590
Financials
Asking Price
$13,250,000
Cap Rate
8.9%
Building Details
Year Built
2004
Year Renovated
2026
Stories
4
Listing Agency:
T S Hotel Advisors, Inc.
Listed By:
Vijay Hira · License #02242534
Source:
Crexi
Added: Aug 13
Changed: Aug 18
Last Checked: Aug 18 at 7:16AM
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 T S Hotel Advisors, Inc.
Investment Insights
Based on property information with market context.
This 65,872-square-foot hotel contains 122 guest rooms and was built in 2004. The property operates as a Holiday Inn Express & Suites and includes a completed renovation that received brand approval. Approximately 2,650 room nights were removed from inventory during the renovation period.
Located at 1175 Technology Drive in O’Fallon, Missouri, the hotel is designated C-2. The trailing twelve months ending June 2026 reflect an 8.9% capitalization rate based on adjusted net operating income. The property is positioned as an operating hospitality asset with its renovation work completed.
Located at 1175 Technology Drive in O’Fallon, Missouri, the hotel is designated C-2. The trailing twelve months ending June 2026 reflect an 8.9% capitalization rate based on adjusted net operating income. The property is positioned as an operating hospitality asset with its renovation work completed.
Key Highlights
- 122‑room Holiday Inn Express & Suites hotel
- 65,872 SF hotel property built in 2004
- Completed renovation with brand approval
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
$617,386
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
4.66%
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%
$12,347,720
$12.3M
Cap Rate 7%
$8,819,800
$8.8M
Cap Rate 9%
$6,859,844
$6.9M
Market Conditions
NOI Build-Up for 65,872 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
$1.49M $22.68/SF
− Vacancy
−$194.2K −$2.95/SF
EGI
$1.30M $19.73/SF
− OpEx
−$682.4K −$10.36/SF
NOI
$617.4K $9.37/SF
Area
St. Charles County, MO
Vacancy
13.00%
Lease Rate
$22.68 /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%
$12,347,720
Cap Rate 7%
$8,819,800
Cap Rate 9%
$6,859,844
Alternative Uses
Best Use
Hotel Hospitality
$8.82M
$7.72M – $10.29M
NOI $617,386 @ 7.0% cap · market cap 4.66%
Second Best
—
—
no second resolved use
Theoretical Best
Warehouse
$17.43M
$15.25M – $20.34M
NOI $1,220,355 @ 7.0% cap · market cap 9.21%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
567
Businesses Nearby
Explore this area
Business Placement
Demographics for 63368, MO
46,007
Population
17,315
Households
2.7
Avg Household Size
39
Median Age
49%
College-Educated
96%
High-School Grad
16.2 sq mi
ZIP Area
2,840
Density / Sq Mi
$118,811
Median Household Income
$60,631
Median Earnings
$1,442
Median Rent
$327,700
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Hotel - Brand-approved renovation completed at a 2004 hotel within C-2 zoning in O’Fallon.
Where is this hotel located?
The property is located at 1175 Technology Drive O Fallon, MO.
What is the asking price?
The asking price for this property is $13,250,000.
What are key features of this property?
This property features: 122‑room Holiday Inn Express & Suites hotel; 65,872 SF hotel property built in 2004; Completed renovation with brand approval
