Holiday Inn Express
For Sale
Contact for pricing
3610 S Nappanee St, Elkhart, IN 46517
Three-story IHG-branded lodging property with an indoor pool, fitness center, business center, and breakfast area.
Property Size42,510 SF
Price / SF$159.96
Days on Market201
Property Features for 3610 S Nappanee St
General Information
Standard status
Active
Size
42,510 SF
Property subtype
Hospitality
Additional Details
Asking Price
$6,900,000
Road Access
Yes
Amenities
heated indoor pool
breakfast area
business center
fitness center
Building Details
Year Built
2004
Year Renovated
2026
Buildings
1
Stories
3
Abandoned
No
Listing Agency:
McKinnies Realty
(972) 755-5302
Listed By:
Arpita Shah · License #RB20001564
Source:
Crexi
Added: Feb 10
Changed: Aug 29
Last Checked: Jul 17 at 11:47PM
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 McKinnies Realty
Investment Insights
Based on property information with market context.
Holiday Inn Express & Suites Elkhart-South is a three-story, 70-room hotel at 3610 S Nappanee Street in Elkhart, Indiana. The IHG-branded property includes a heated indoor pool, breakfast area, business center, and fitness center. Guest-room PTAC units have been replaced.
The hotel is accessible from State Road 19-Elkhart and is positioned within the Elkhart-Goshen MSA. Nearby demand generators include Forest River Incorporated, Thor Motor Coach, NIBCO Incorporated, and Elkhart Brass Manufacturing, while cultural and recreational destinations include Ruthmere Campus, the Midwest Museum of American Art, the National New York Central Railroad Museum, and the RV/MH Hall of Fame and Museum.
Through August, the property recorded 109 percent RevPAR penetration over the prior twelve months and maintained more than 100 percent penetration during the preceding two years.
The hotel is accessible from State Road 19-Elkhart and is positioned within the Elkhart-Goshen MSA. Nearby demand generators include Forest River Incorporated, Thor Motor Coach, NIBCO Incorporated, and Elkhart Brass Manufacturing, while cultural and recreational destinations include Ruthmere Campus, the Midwest Museum of American Art, the National New York Central Railroad Museum, and the RV/MH Hall of Fame and Museum.
Through August, the property recorded 109 percent RevPAR penetration over the prior twelve months and maintained more than 100 percent penetration during the preceding two years.
Key Highlights
- 70‑room, three‑story hotel at 3610 S Nappanee St, Elkhart, IN 46517
- Heated indoor pool, breakfast area, business center, and fitness center
- All guest‑room PTAC units have been replaced
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
$272,595
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
4.01%
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%
$5,451,900
$5.5M
Cap Rate 7%
$3,894,214
$3.9M
Cap Rate 9%
$3,028,833
$3.0M
Market Conditions
NOI Build-Up for 42,510 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
$637.7K $15.00/SF
− Vacancy
−$63.8K −$1.50/SF
EGI
$573.9K $13.50/SF
− OpEx
−$301.3K −$7.09/SF
NOI
$272.6K $6.41/SF
Area
Elkhart County, IN
Vacancy
10.00%
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%
$5,451,900
Cap Rate 7%
$3,894,214
Cap Rate 9%
$3,028,833
Alternative Uses
Best Use
Hotel Hospitality
$3.89M
$3.41M – $4.54M
NOI $272,595 @ 7.0% cap · market cap 4.01%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$7.87M
$6.89M – $9.18M
NOI $550,930 @ 7.0% cap · market cap 8.10%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
285
Businesses Nearby
Explore this area
Business Placement
Demographics for 46517, IN
24,006
Population
9,915
Households
2.4
Avg Household Size
36
Median Age
15%
College-Educated
81%
High-School Grad
36.9 sq mi
ZIP Area
651
Density / Sq Mi
$53,263
Median Household Income
$34,649
Median Earnings
$942
Median Rent
$168,500
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Hotel - Three-story IHG-branded lodging property with an indoor pool, fitness center, business center, and breakfast area.
Where is this hotel located?
The property is located at 3610 S Nappanee St Elkhart, IN.
What is the asking price?
The asking price for this property is $6,800,000.
What are key features of this property?
This property features: 70‑room, three‑story hotel at 3610 S Nappanee St, Elkhart, IN 46517; Heated indoor pool, breakfast area, business center, and fitness center; All guest‑room PTAC units have been replaced
