Renovated 120-Unit Amarillo
For Sale
$5,000,000
6800 I-40 West Building A & B, Amarillo, TX 79106
Red Roof & Home Towne Studios – Amarillo, TX
Property Size81,123 SF
Price / SF$61.63
Days on Market624
Property Features for 6800 I-40 West Building A & B
General Information
Standard status
Active
Property type
Hotels, Other hospitality properties, Other residential income properties, Hospitality properties, Residential income properties
Size
81,123 SF
Elevators
N/A
Building Details
Year Built
1984
Year Renovated
2023
Buildings
1
Stories
2
Units
120
Listed By:
Devesh “devo” Ragha
(806) 584-1454
Added: Jan 28, 2025
Changed: Mar 16
Investment Insights
Based on property information with market context.
This is an 81,123 square foot hotel investment opportunity in Amarillo, Texas. The property features 120 units and was recently renovated in 2023. The dual-branded hotel, operating as Red Roof & Home Towne Studios, is strategically located near the Medical District, Westgate Mall, and Historic Route 66, providing convenient access to major attractions, corporate centers, and medical facilities. Constructed in 1984, the property offers contemporary amenities and attractive accommodations, catering to both business and leisure travelers. Its location offers easy access for travelers between Albuquerque, Oklahoma City, Dallas, and Denver. The property benefits from its proximity to popular attractions such as Cadillac Ranch and the Big Texan Steak Ranch, enhancing its appeal to tourists. The property's proximity to corporate conventions, schools, and sporting tournament events further enhances its potential for consistent occupancy and revenue generation. The R-zoned property also presents flexibility for potential future uses.
Key Highlights
- Big city feels without the traffic
- Equal distance from Albuquerque, Oklahoma City, Dallas, and Denver making it a great stopping point for those travelling to larger cities
- Located in proximity of multiple corporate conventions and schools sporting tournament events
Financial Insights
Estimated NOI and Cap Rate
NOI / Yr
$381,481
Cap Rate
7.63%
Suggested Prices Based on Cap Rates
Cap Rate 5%
$7,629,620
$7.6M
Cap Rate 7%
$5,449,729
$5.4M
Cap Rate 9%
$4,238,678
$4.2M
Market Conditions
NOI Build-Up for 81,123 SF
Gross rent
$1.07M $13.20/SF
− Vacancy
−$267.7K −$3.30/SF
EGI
$803.1K $9.90/SF
− OpEx
−$421.6K −$5.20/SF
NOI
$381.5K $4.70/SF
Area
Amarillo, TX
Vacancy
25.00%
Lease Rate
$13.20 /SF/Yr
Expense Ratio
52.50%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap Rate 5%
$7,629,620
Cap Rate 7%
$5,449,729
Cap Rate 9%
$4,238,678
Alternative Uses
Best Use
Apartment 5plus
$7.69M
$6.73M – $8.97M
NOI $538,025 @ 7.0% cap · market cap 10.76%
Second Best
Hotel Hospitality
$5.45M
$4.77M – $6.36M
NOI $381,481 @ 7.0% cap · market cap 7.63%
Theoretical Best
Office A
$18.11M
$15.85M – $21.13M
NOI $1,267,855 @ 7.0% cap · market cap 25.36%
Zoning and permitted uses should be independently verified with authorities.
How Realmo checks its estimates
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
11
Businesses Nearby
Explore this area
Business Placement
Demographics for 79106, TX
27,692
Population
13,385
Households
2.1
Avg Household Size
37
Median Age
24%
College-Educated
87%
High-School Grad
8.6 sq mi
ZIP Area
3,220
Density / Sq Mi
$54,407
Median Household Income
$36,061
Median Earnings
$995
Median Rent
$163,100
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Hotel - Red Roof & Home Towne Studios – Amarillo, TX
Where is this hotel located?
The property is located at 6800 I-40 West Building A & B Amarillo, TX.
What is the asking price?
The asking price for this property is $5,000,000.
What are key features of this property?
This property features: Big city feels without the traffic; Equal distance from Albuquerque, Oklahoma City, Dallas, and Denver making it a great stopping point for those travelling to larger cities; Located in proximity of multiple corporate conventions and schools sporting tournament events
