The Rich Somers Report
Join host Rich Somers, as he interviews top real estate investors, entrepreneurs, and athletes from all over the world to discuss all things real estate, business, and wealth related. His first guests include Tarek El Moussa - real estate investor & TV personality, and Cliff Avril - former Seattle Seahawks player & Super Bowl XLVIII Champion. Rich is an active real estate investor and entrepreneur holding a portfolio of apartment buildings, boutique hotels, and short-term rentals valued in excess of $80M. He was an air traffic controller for the government for 11 years, and cashed out his 401k to get his start in real estate investing. Connect with Rich on Instagram: @rich_somers
The Rich Somers Report
This Boutique Hotel Will Make $3.6 Million in Instant Equity Day 1 | E137
On today's episode, Rich dives into a 44-unit, water front, boutique hotel acquisition he and 3 of his mastermind members are closing on February 2nd.
Rich discusses the Bodega Coast Inn & Suites history and under performance in Sonoma County (wine country), how the deal came to fruition, touring the property prior to getting into the deal, his advice on buying new boutique hotels, the issues and pain points to look for during tours, and leveraging mastermind members and partners.
Rich then analyzes the deal itself: the initial pricing guidance being $13 Million on this 44-unit, bay view property, knocking the guidance down to $8 Million with the seller, a $1 million re-trade on the property, making a complete inspection of the property, discounting the property down to $7 Million, the as-is appraisal value being at $10.6 Million and a stabilized value of $14 Million, a 70% bridge loan to finance the deal, and putting in $1.8 Million on the property renovations.
Lastly, Rich speaks on rebranding underperforming properties, what appraisers are looking for, good locations, projections of 62-63% occupancy year round, underwriting the deal to bring it to $2.5 Million in annual revenue, looking at the sales comps of other local properties, walking into $3.6 Million at the start, a total market overview of Bodega Bay, and how to join the boutique hotel fund.
Interested in investing in this opportunity?
Visit somerscapital.com/invest to book a free call with our team.
*This offering is for accredited investors only*
Interested in joining our boutique hotel mastermind?
Visit somerscapital.com/mastermind to book a free call with our team.
Join our investor waitlist and stay in the know about our next investor opportunity with Somers Capital: www.somerscapital.com/invest.
Want to join our Boutique Hotel Mastermind Community? Book a free strategy call with our team: www.hotelinvesting.com.
If you're committed to scaling your personal brand and achieving 7-figure success, it's time to level up with the 7 Figure Creator Mastermind Community. Book your exclusive intro call today at www.the7figurecreator.com and gain access to the strategies that will accelerate your growth.