Branded Courtyard
For Sale
Contact for pricing
12833 Ranch Road 620 North, Austin, TX 78750
Built in 2018, this Courtyard by Marriott offers an established operating history with average room revenue of about $2.7M.
Property Size78,314 SF
Price / SF$159.61
Days on Market121
Property Features for 12833 Ranch Road 620 North
General Information
Standard status
Active
Size
78,314 SF
Property subtype
Hospitality
Additional Details
Business Included
Yes
Building Details
Year Built
2018
Stories
5
Listing Agency:
NewGen Advisory
Listed By:
Suraj Rama · License #AZ SA705370000
(602) 363-9589
Source:
Crexi
Added: May 8
Changed: Aug 22
Last Checked: Aug 29 at 12:29PM
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 NewGen Advisory
Investment Insights
Based on property information with market context.
The Courtyard by Marriott Austin Northwest/Lakeline is a modern, institutionally branded hotel built in 2018. The property is offered for sale with unencumbered management and has demonstrated solid operating performance, including a three-year average room revenue of approximately $2.7 million with continued upward momentum, per the provided remarks.
Located in the Northwest Austin tech corridor, the hotel is described as being near major corporate demand drivers such as Apple and Dell, as well as key retail and mixed-use hubs. This positioning supports both business and leisure travel demand based on the information provided.
For buyers or investors seeking a professionally managed, branded hospitality asset, the seller notes an opportunity to pursue value creation through targeted capital improvements and operational optimization.
Located in the Northwest Austin tech corridor, the hotel is described as being near major corporate demand drivers such as Apple and Dell, as well as key retail and mixed-use hubs. This positioning supports both business and leisure travel demand based on the information provided.
For buyers or investors seeking a professionally managed, branded hospitality asset, the seller notes an opportunity to pursue value creation through targeted capital improvements and operational optimization.
Key Highlights
- Courtyard by Marriott Austin Northwest/Lakeline, built in 2018
- Three‑year average room revenue of approximately $2.7 million
- Institutionally branded Marriott asset with established operating history
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
$585,887
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
4.69%
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%
$11,717,740
$11.7M
Cap Rate 7%
$8,369,814
$8.4M
Cap Rate 9%
$6,509,856
$6.5M
Market Conditions
NOI Build-Up for 78,314 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
$1.41M $18.00/SF
− Vacancy
−$176.2K −$2.25/SF
EGI
$1.23M $15.75/SF
− OpEx
−$647.6K −$8.27/SF
NOI
$585.9K $7.48/SF
Area
Austin, TX
Vacancy
12.50%
Lease Rate
$18.00 /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%
$11,717,740
Cap Rate 7%
$8,369,814
Cap Rate 9%
$6,509,856
Alternative Uses
Best Use
Hotel Hospitality
$8.37M
$7.32M – $9.76M
NOI $585,887 @ 7.0% cap · market cap 4.69%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$30.69M
$26.85M – $35.80M
NOI $2,148,204 @ 7.0% cap · market cap 17.19%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
Turnkey business
Opportunity
Location Intelligence
Trade Area within ½ mile
1,859
Businesses Nearby
Explore this area
Business Placement
Demographics for 78750, TX
28,348
Population
12,186
Households
2.3
Avg Household Size
40
Median Age
63%
College-Educated
96%
High-School Grad
11.8 sq mi
ZIP Area
2,402
Density / Sq Mi
$123,722
Median Household Income
$62,096
Median Earnings
$1,743
Median Rent
$552,800
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Hotel - Built in 2018, this Courtyard by Marriott offers an established operating history with average room revenue of about $2.7M.
Where is this hotel located?
The property is located at 12833 Ranch Road 620 North Austin, TX.
What is the asking price?
The asking price for this property is $12,500,000.
What are key features of this property?
This property features: Courtyard by Marriott Austin Northwest/Lakeline, built in 2018; Three‑year average room revenue of approximately $2.7 million; Institutionally branded Marriott asset with established operating history
