While the hotel industry has seen an overall decrease in sales since its record year in 2021, hotel properties in Southern California still continue to trade hands. In one recent acquisition, Jagan Nath Investment Inc., an entity linked to Basant L. Bhatia, purchased the 110-room Holiday Inn Express & Suites in Barstow. The property was sold by Henry H. Lee and Kitty C. Lee for $16.1 million, or about $146,363 per unit, according to public records.
Holiday Inn Express & Suites Barstow-Outlet Center is an IHG Hotel located at 2700 Lenwood Road. The property was built in 2002 on 3.17 acres and totals 59,700 square feet. The three-story hotel room also features several guest amenities, such as an outdoor pool, fitness center, two meeting rooms and a business center.
The property is located just off Interstate 15 near the Outlets of Barstow, which is home to more than 35 national and local retailers. The property is also within close proximity to Barstow’s downtown area, which is a main tourist attraction along Route 66.
According to Atlas Hospitality Group’s 2022 Mid-Year California Hotel Sales Survey, hotel sales declined by 9.9 percent across the state over the past year. In addition, total dollar volume fell by 33.6 percent.
In San Bernardino County, however, sales increased by 40 percent, according to the report, while total dollar volume increased by 108 percent. The median price per room also increased by 54 percent.
The Inland Empire is expected to continue seeing similar sales activity over the next several quarters. In another recent deal that recorded earlier this month, Cambridge Hospitality Inc. purchased the 98-room Hampton Inn & Suites Temecula for $15.2 million, or about $155,102 per room. The property was sold by an entity affiliated with Aberdeen, South Dakota-based hotel operator TKO Hospitality, and is located at 28190 Jefferson Ave.