Boutique Hotel with Full-Service
For Sale
$3,295,000
255 W Lakeshore Dr, Port Clinton, OH 43452
Boutique hotel with 67 rooms and a 5,000 sf full-service restaurant overlooking Lake Erie.
Property Size37,960 SF
Days on Market58
Property Features for 255 W Lakeshore Dr
General Information
Standard status
Active
Size
37,960 SF
Property subtype
Hospitality
Building Details
Building Size
37,960 SF
Year Built
2003
Listed By:
Paul Schadek
(614) 944-5140
Source:
Svn
Added: Jul 10
Changed: Aug 14
Last Checked: Sep 4 at 5:57AM
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 Paul Schadek
Investment Insights
Based on property information with market context.
Commodore Perry Inn & Suites is a boutique hotel featuring 67 rooms and amenities built around its waterfront setting on Lake Erie. The property also includes a full-service restaurant known as “Riverside Cantina,” with 5,000 sf of restaurant space.
On-site hospitality offerings extend beyond dining, including “Off the Rock,” a pool and patio bar.
The inn is positioned for travel demand in the Sandusky and Port Clinton region, identified in the remarks as “Shores & Islands Ohio,” with an estimated 13 million visitors annually and seasonal draw including beaches, boating, island ferries, shopping, entertainment, and fishing.
On-site hospitality offerings extend beyond dining, including “Off the Rock,” a pool and patio bar.
The inn is positioned for travel demand in the Sandusky and Port Clinton region, identified in the remarks as “Shores & Islands Ohio,” with an estimated 13 million visitors annually and seasonal draw including beaches, boating, island ferries, shopping, entertainment, and fishing.
Key Highlights
- 67‑room boutique hotel built in 2003
- Overlooking Lake Erie
- Includes a 5,000 SF full‑service restaurant
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
$230,977
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
7.01%
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%
$4,619,540
$4.6M
Cap Rate 7%
$3,299,671
$3.3M
Cap Rate 9%
$2,566,411
$2.6M
Market Conditions
NOI Build-Up for 37,960 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
$569.4K $15.00/SF
− Vacancy
−$83.1K −$2.19/SF
EGI
$486.3K $12.81/SF
− OpEx
−$255.3K −$6.73/SF
NOI
$231.0K $6.08/SF
Area
Ottawa County, OH
Vacancy
14.60%
Lease Rate
$15.00 /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%
$4,619,540
Cap Rate 7%
$3,299,671
Cap Rate 9%
$2,566,411
Alternative Uses
Best Use
Specialty Retail
$7.42M
$6.49M – $8.65M
NOI $519,279 @ 7.0% cap · market cap 15.76%
Second Best
Hotel Hospitality
$3.30M
$2.89M – $3.85M
NOI $230,977 @ 7.0% cap · market cap 7.01%
Theoretical Best
Retail
$13.53M
$11.84M – $15.78M
NOI $946,962 @ 7.0% cap · market cap 28.74%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
425
Businesses Nearby
18k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Dining 83%
Shops & Services 17%
Wendy's
Dining
12,990 visits/mo
0.4 miles
Huntington Bank
Shops & Services
2,553 visits/mo
0.3 miles
Marco's Pizza
Dining
1,901 visits/mo
0.3 miles
U.S. Bank
Shops & Services
482 visits/mo
0.4 miles
Demographics for 43452, OH
13,443
Population
10,859
Households
1.2
Avg Household Size
52
Median Age
28%
College-Educated
93%
High-School Grad
46.2 sq mi
ZIP Area
291
Density / Sq Mi
$63,815
Median Household Income
$43,782
Median Earnings
$937
Median Rent
$206,800
Median Home Value
Market
Vacancy Rate% for Retail in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Hotel - Boutique hotel with 67 rooms and a 5,000 sf full-service restaurant overlooking Lake Erie.
Where is this hotel located?
The property is located at 255 W Lakeshore Dr Port Clinton, OH.
What is the asking price?
The asking price for this property is $3,295,000.
What are key features of this property?
This property features: 67‑room boutique hotel built in 2003; Overlooking Lake Erie; Includes a 5,000 SF full‑service restaurant
