Ramada Modesto Investment
For Sale
$8,495,000
1525 McHenry Avenue, Modesto, CA 95350
91-key hotel with significant upside potential after recent renovations.
Property Size39,173 SF
Price / SF$216.86
Days on Market209
Property Features for 1525 McHenry Avenue
General Information
Standard status
Active
Size
39,173 SF
Property subtype
Commercial
Building Details
Building Size
39,173 SF
Units
91
Listed By:
Ryan Kawai Sanchez · License #02192199 (CA)
(949) 287-5854
Source:
Matthews
Added: Mar 27
Changed: Oct 3
Last Checked: Oct 20 at 5:13PM
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 Ryan Kawai Sanchez
Ask AI about this property
Review the available facts, identify missing information and prepare questions for the agent.
Investment Insights
Based on property information with market context.
The Ramada Modesto, a 91-key hospitality property, presents a compelling investment opportunity. The property underwent a comprehensive brand conversion completed in 2022 and has since achieved approximately 75% stabilization. Offered at $103,700 per key, the property is positioned for immediate equity growth. The hotel's 2025 RevPAR index sits just below 70%, trailing a comp set largely comprised of inferior properties. This performance gap highlights an opportunity for a hands-on manager to implement aggressive sales strategies, improve online reputation, and reclaim market share from aging competitors. The property size is 39173 square feet. Offers are due by March 5th, 2026. Tours can be scheduled by contacting the agents directly.
Key Highlights
- Significant operational upside potential with approximately 75% stabilization achieved after a 2022 brand conversion.
- Offered at a significantly below‑market price of $103,700 per key, presenting an opportunity for immediate equity growth.
- Opportunity to increase RevPAR index by implementing aggressive sales strategies and improving online reputation.
Financial Insights
Estimated NOI and Cap Rate
NOI / Yr
$301,436
Cap Rate
3.55%
Suggested Prices Based on Cap Rates
Cap Rate 5%
$6,028,720
$6.0M
Cap Rate 7%
$4,306,229
$4.3M
Cap Rate 9%
$3,349,289
$3.3M
Market Conditions
NOI Build-Up for 39,173 SF
Gross rent
$705.1K $18.00/SF
− Vacancy
−$70.5K −$1.80/SF
EGI
$634.6K $16.20/SF
− OpEx
−$333.2K −$8.51/SF
NOI
$301.4K $7.69/SF
Area
Modesto, CA
Vacancy
10.00%
Lease Rate
$18.00 /SF/Yr
Expense Ratio
52.50%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap Rate 5%
$6,028,720
Cap Rate 7%
$4,306,229
Cap Rate 9%
$3,349,289
Alternative Uses
Best Use
Hotel Hospitality
$4.31M
$3.77M – $5.02M
NOI $301,436 @ 7.0% cap · market cap 3.55%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$13.16M
$11.52M – $15.36M
NOI $921,349 @ 7.0% cap · market cap 10.85%
Zoning and permitted uses should be independently verified with authorities.
How Realmo checks its estimates
Property Analytics
Unlock full access to Insights
Subscribe to Realmo Intelligence
Open Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
1,974
Businesses Nearby
Explore this area
Business Placement
Demographics for 95350, CA
55,344
Population
20,327
Households
2.7
Avg Household Size
37
Median Age
20%
College-Educated
85%
High-School Grad
8.8 sq mi
ZIP Area
6,289
Density / Sq Mi
$73,611
Median Household Income
$43,428
Median Earnings
$1,483
Median Rent
$397,100
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
Frequently Asked Questions
What type of property is this?
Hotel - 91-key hotel with significant upside potential after recent renovations.
Where is this hotel located?
The property is located at 1525 McHenry Avenue Modesto, CA.
What is the asking price?
The asking price for this property is $8,495,000.
What are key features of this property?
This property features: Significant operational upside potential with approximately 75% stabilization achieved after a 2022 brand conversion.; Offered at a significantly below‑market price of $103,700 per key, presenting an opportunity for immediate equity growth.; Opportunity to increase RevPAR index by implementing aggressive sales strategies and improving online reputation.
