Candlewood Suites Harrisburg Investment
For Sale
Contact for pricing
504 N Mountain Rd, Harrisburg, PA 17112
93-room hotel in Hershey Area, renovated in 2023.
Property Size49,559 SF
Lot Size4.34 Acres
Price / SF$189.67
Days on Market163
Property Features for 504 N Mountain Rd
General Information
Standard status
Active
Size
49,559 SF
Lot size
4.34 Acres
Property subtype
Hospitality
Zoning
C12
Building Details
Year Built
2009
Year Renovated
2023
Stories
3
Listing Agency:
Century 21 Allstars
Listed By:
Silvestre Madrigal Jr. · License #01363650
Source:
Crexi
Added: Feb 27
Changed: Aug 8
Last Checked: Aug 8 at 3:18PM
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 Century 21 Allstars
Investment Insights
Based on property information with market context.
Candlewood Suites Harrisburg 1-81 presents an investment opportunity in the Hershey Area. Constructed in 2009 and renovated in 2023, this property features 93 rooms within a 49,559 square foot building on a 4.34-acre lot. The property includes 103 parking spaces. The surrounding area has a median household income of $84,677 within a 1-mile radius.
Key Highlights
- Recently renovated in 2023.
- Located in the desirable Hershey Area.
- Features 93 well‑appointed rooms.
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
$372,882
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
3.97%
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%
$7,457,640
$7.5M
Cap Rate 7%
$5,326,886
$5.3M
Cap Rate 9%
$4,143,133
$4.1M
Market Conditions
NOI Build-Up for 49,559 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
$892.1K $18.00/SF
− Vacancy
−$107.0K −$2.16/SF
EGI
$785.0K $15.84/SF
− OpEx
−$412.1K −$8.32/SF
NOI
$372.9K $7.52/SF
Area
Dauphin County, PA
Vacancy
12.00%
Lease Rate
$18.00 /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%
$7,457,640
Cap Rate 7%
$5,326,886
Cap Rate 9%
$4,143,133
Alternative Uses
Best Use
Hotel Hospitality
$5.33M
$4.66M – $6.21M
NOI $372,882 @ 7.0% cap · market cap 3.97%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$91.28M
$79.87M – $106.49M
NOI $6,389,394 @ 7.0% cap · market cap 67.97%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
345
Businesses Nearby
Explore this area
Business Placement
Demographics for 17112, PA
37,137
Population
16,026
Households
2.3
Avg Household Size
44
Median Age
44%
College-Educated
95%
High-School Grad
69.6 sq mi
ZIP Area
534
Density / Sq Mi
$101,784
Median Household Income
$55,056
Median Earnings
$1,400
Median Rent
$290,400
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Hotel - 93-room hotel in Hershey Area, renovated in 2023.
Where is this hotel located?
The property is located at 504 N Mountain Rd Harrisburg, PA.
What is the asking price?
The asking price for this property is $9,399,900.
What are key features of this property?
This property features: Recently renovated in 2023.; Located in the desirable Hershey Area.; Features **93 well‑appointed rooms**.
