Turnkey Hotel in Tallahassee,
For Sale
$10,200,000
1978 Village Green Way, Tallahassee, FL 32308
Renovated 100-room hotel with upside potential in Tallahassee, Florida.
Property Size66,819 SF
Price / SF$152.65
Days on Market201
Property Features for 1978 Village Green Way
General Information
Standard status
Active
Size
66,819 SF
Property subtype
Hospitality
Zoning
Zoning – Leon County, OR-3
Building Details
Building Size
66,819 SF
Year Built
2025
Stories
3
Listing Agency:
Coldwell Banker Realty
Listed By:
Mousa Wakileh · License #FLSL3370035
(941) 960-9336
Source:
Cbcworldwide
Added: Mar 5
Changed: Sep 10
Last Checked: Sep 21 at 3:46AM
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 Coldwell Banker Realty
Investment Insights
Based on property information with market context.
Located in Tallahassee, Florida, the 66,819 square foot TRYP by Wyndham hotel at 1978 Village Green Way presents a prime investment opportunity. The property, renovated in 2023 with a $620,000 upgrade, features 100 guest rooms and offers immediate value. As a non-smoking, pet-friendly establishment, the hotel includes a restaurant/tavern, a 24-hour front desk with business services, a 24/7 fitness center, complimentary breakfast with hot options, free parking, and complimentary high-speed Wi-Fi in rooms and throughout the property. Guest rooms are equipped with a desk and ergonomic chair, flat screen HDTV, free high-speed wireless internet, coffee/tea maker, hair dryer, ironing amenities, and bath products. Family suites also include a microwave, full-size fridge, and wet bar area. The hotel is situated in a vibrant area known for its arts scene, diverse culinary options, and bustling nightlife, catering to both business and leisure travelers. Its location offers convenient access to the Florida State Capitol (5.5 miles), Florida State University (6 miles), Florida A&M University (6.5 miles), Alfred B Maclay Gardens State Park (1.5 miles), Governor’s Square Regional Mall (5 miles), Railroad Square Art District (7 miles) and Tallahassee International Airport (14 miles, 22 minutes). The property offers potential for enhanced ADR and repositioning, presenting a compelling opportunity for hospitality investors seeking to capitalize on brand strength and market potential, offering both operational stability and long-term appreciation potential.
Key Highlights
- Turnkey, renovated (2023) TRYP by Wyndham hotel with 100 guest rooms, offering immediate value and operational stability.
- Significant $620K upgrade completed in 2023.
- Strong brand recognition and upside potential through enhanced ADR and repositioning.
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
$285,651
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
2.80%
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%
$5,713,020
$5.7M
Cap Rate 7%
$4,080,729
$4.1M
Cap Rate 9%
$3,173,900
$3.2M
Market Conditions
NOI Build-Up for 66,819 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
$801.8K $12.00/SF
− Vacancy
−$200.5K −$3.00/SF
EGI
$601.4K $9.00/SF
− OpEx
−$315.7K −$4.73/SF
NOI
$285.7K $4.27/SF
Area
Tallahassee, FL
Vacancy
25.00%
Lease Rate
$12.00 /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%
$5,713,020
Cap Rate 7%
$4,080,729
Cap Rate 9%
$3,173,900
Alternative Uses
Best Use
Hotel Hospitality
$4.08M
$3.57M – $4.76M
NOI $285,651 @ 7.0% cap · market cap 2.80%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$16.38M
$14.33M – $19.11M
NOI $1,146,678 @ 7.0% cap · market cap 11.24%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Location Intelligence
Trade Area within ½ mile
1,614
Businesses Nearby
Explore this area
Business Placement
Demographics for 32308, FL
23,355
Population
11,838
Households
2
Avg Household Size
43
Median Age
56%
College-Educated
97%
High-School Grad
15.8 sq mi
ZIP Area
1,478
Density / Sq Mi
$73,125
Median Household Income
$46,786
Median Earnings
$1,327
Median Rent
$291,800
Median Home Value
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Frequently Asked Questions
What type of property is this?
Hotel - Renovated 100-room hotel with upside potential in Tallahassee, Florida.
Where is this hotel located?
The property is located at 1978 Village Green Way Tallahassee, FL.
What is the asking price?
The asking price for this property is $10,200,000.
What are key features of this property?
This property features: Turnkey, renovated (2023) TRYP by Wyndham hotel with 100 guest rooms, offering immediate value and operational stability.; Significant $620K upgrade completed in 2023.; Strong brand recognition and upside potential through enhanced ADR and repositioning.
