Best Western Plus
For Sale
Contact for pricing
501 7th St, Bay City, TX 77414
The property combines guest rooms with fitness, business, breakfast, and meeting facilities.
Property Size38,355 SF
Price / SF$99.07
Days on Market158
Property Features for 501 7th St
General Information
Standard status
Active
Size
38,355 SF
Property subtype
Hospitality
Investment Type
Owner/User
Additional Details
Highway Access
Yes
Amenities
fitness center
business center
complimentary breakfast area
meeting space
well-appointed guestrooms
Building Details
Year Built
2017
Buildings
1
Stories
3
Listing Agency:
Seth Equities
(281) 968-5019
Listed By:
Rorik Seth · License #TX 9015432
Source:
Crexi
Added: Mar 26
Changed: Aug 30
Last Checked: Aug 30 at 5:53AM
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 Seth Equities
Investment Insights
Based on property information with market context.
Best Western Plus Bay City is a 38,355-square-foot select-service hotel built in 2017. The property includes guest accommodations along with a fitness center, business center, complimentary breakfast area, meeting space, and on-site parking. Its spacious layout occupies over 6 acres and provides convenient access to nearby highways and regional employment centers.
Located at 501 7th St in Bay City, Texas, the hotel is approximately 80 miles southwest of Houston. The surrounding Gulf Coast corridor is supported by energy, petrochemical, manufacturing, and industrial activity, with regional connections to Freeport, Lake Jackson, and Matagorda County. The property serves business and leisure travelers, including contractors, corporate visitors, and travelers moving through the Gulf Coast region.
Located at 501 7th St in Bay City, Texas, the hotel is approximately 80 miles southwest of Houston. The surrounding Gulf Coast corridor is supported by energy, petrochemical, manufacturing, and industrial activity, with regional connections to Freeport, Lake Jackson, and Matagorda County. The property serves business and leisure travelers, including contractors, corporate visitors, and travelers moving through the Gulf Coast region.
Key Highlights
- Best Western Plus select‑service hotel built in 2017
- 38,355 SF hotel property
- Situated on over 6 acres of land
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
$137,733
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
3.62%
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%
$2,754,660
$2.8M
Cap Rate 7%
$1,967,614
$2.0M
Cap Rate 9%
$1,530,367
$1.5M
Market Conditions
NOI Build-Up for 38,355 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
$460.3K $12.00/SF
− Vacancy
−$170.3K −$4.44/SF
EGI
$290.0K $7.56/SF
− OpEx
−$152.2K −$3.97/SF
NOI
$137.7K $3.59/SF
Area
Matagorda County, TX
Vacancy
37.00%
Lease Rate
$12.00 /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%
$2,754,660
Cap Rate 7%
$1,967,614
Cap Rate 9%
$1,530,367
Alternative Uses
Best Use
Hotel Hospitality
$1.97M
$1.72M – $2.30M
NOI $137,733 @ 7.0% cap · market cap 3.62%
Second Best
—
—
no second resolved use
Theoretical Best
Multifamily LT 5
$430.02M
$376.26M – $501.69M
NOI $30,101,142 @ 7.0% cap · market cap 792.14%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
86
Businesses Nearby
Explore this area
Business Placement
Demographics for 77414, TX
23,416
Population
12,254
Households
1.9
Avg Household Size
38
Median Age
24%
College-Educated
85%
High-School Grad
555.1 sq mi
ZIP Area
42
Density / Sq Mi
$57,545
Median Household Income
$35,819
Median Earnings
$991
Median Rent
$166,100
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Hotel - The property combines guest rooms with fitness, business, breakfast, and meeting facilities.
Where is this hotel located?
The property is located at 501 7th St Bay City, TX.
What is the asking price?
The asking price for this property is $3,800,000.
What are key features of this property?
This property features: Best Western Plus select‑service hotel built in 2017; 38,355 SF hotel property; Situated on over 6 acres of land
