Posted by ray@lcorn on January 09, 2004 at 17:13:58:
I can’t really comment on the deal without seeing the operating numbers. Usually three years of operating statements are necessary to evaluate a deal like this, but a quick read is possible with the gross sales and expenses for the last twelve months.
Be aware that a motel is a business, not a straight real estate investment. This is a small property, and the potential audience to sell or lease it to as an exit strategy is comparitively small as well. That’s why the majority are owner financed just as this one is offered. In many cases it is equivalent to buying a job rather than being an investment.