Best Western Hotel
For Sale
Contact for pricing
1765 S Main St, Las Cruces, NM 88005
Best Western-branded 68-room hotel with Mission-style design and an on-site two-bedroom manager’s apartment for added support.
Property Size48,066 SF
Price / SF$114.43
Days on Market143
Property Features for 1765 S Main St
General Information
Standard status
Active
Size
48,066 SF
Property subtype
Hospitality
Building Details
Year Built
1945
Year Renovated
2017
Stories
2
Construction
Mission-style rustic
Listing Agency:
214Realty
Listed By:
Jatin Jariwala · License #0593897
(469) 233-2191
Source:
Crexi
Added: Apr 16
Changed: Aug 31
Last Checked: Sep 4 at 1:43PM
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 214Realty
Investment Insights
Based on property information with market context.
Best Western Mission Inn is a Best Western-branded hotel offering 68 guest rooms in a distinctive Mission-style rustic design. Guest rooms are oversized, averaging approximately 370 square feet, and the property includes a two-bedroom manager’s apartment.
The hotel is located along Las Cruces’ primary commercial corridor at 1765 S Main St.
The ownership presentation notes stabilized, cash-flowing performance and long-term brand waivers that are described as supporting the property’s local character, with a stated minimal PIP requirement and limited near-term capital needs.
The hotel is located along Las Cruces’ primary commercial corridor at 1765 S Main St.
The ownership presentation notes stabilized, cash-flowing performance and long-term brand waivers that are described as supporting the property’s local character, with a stated minimal PIP requirement and limited near-term capital needs.
Key Highlights
- Best Western‑branded hotel built in 1945 offering 68 rooms
- Mission‑style rustic design with oversized guest rooms averaging about 370 SF
- Includes a two‑bedroom manager's apartment on‑site
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
$295,894
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
5.38%
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%
$5,917,880
$5.9M
Cap Rate 7%
$4,227,057
$4.2M
Cap Rate 9%
$3,287,711
$3.3M
Market Conditions
NOI Build-Up for 48,066 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
$692.2K $14.40/SF
− Vacancy
−$69.2K −$1.44/SF
EGI
$622.9K $12.96/SF
− OpEx
−$327.0K −$6.80/SF
NOI
$295.9K $6.16/SF
Area
Las Cruces, NM
Vacancy
10.00%
Lease Rate
$14.40 /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%
$5,917,880
Cap Rate 7%
$4,227,057
Cap Rate 9%
$3,287,711
Alternative Uses
Best Use
Hotel Hospitality
$4.23M
$3.70M – $4.93M
NOI $295,894 @ 7.0% cap · market cap 5.38%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$8.41M
$7.36M – $9.81M
NOI $588,789 @ 7.0% cap · market cap 10.71%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,402
Businesses Nearby
Explore this area
Business Placement
Demographics for 88005, NM
26,997
Population
12,039
Households
2.2
Avg Household Size
41
Median Age
31%
College-Educated
85%
High-School Grad
150.9 sq mi
ZIP Area
179
Density / Sq Mi
$51,770
Median Household Income
$28,908
Median Earnings
$899
Median Rent
$207,100
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Hotel - Best Western-branded 68-room hotel with Mission-style design and an on-site two-bedroom manager’s apartment for added support.
Where is this hotel located?
The property is located at 1765 S Main St Las Cruces, NM.
What is the asking price?
The asking price for this property is $5,500,000.
What are key features of this property?
This property features: Best Western‑branded hotel built in 1945 offering 68 rooms; Mission‑style rustic design with oversized guest rooms averaging about 370 SF; Includes a two‑bedroom manager's apartment on‑site
