85 Ocean Ave Local commercial 417 m² 100 % Loué À vendre New Shoreham, RI 02807 2 536 764 € (6 084,11 €/m²)

85 Ocean Avenue presents a unique opportunity to acquire a newly renovated 10-room hospitality property in the heart of Block Island. The flexible three-level configuration includes six spacious guest rooms on the first and second levels utilizing shared bath facilities, with a kitchen on the second level and laundry facilities on the first. The third level offers four premium accommodations consisting of three queen guest rooms and one larger suite.
Based on illustrative nightly rates of $400 for each of the six shared-bath guest rooms, $600 for each of the three queen rooms and $800 for the larger suite, the property offers potential gross room revenue of approximately $5,000 per fully occupied night. Using a 150-night primary operating season, illustrative gross lodging revenue would be approximately $450,000 at 60% occupancy, $525,000 at 70% occupancy, $600,000 at 80% occupancy and $675,000 at 90% occupancy, with maximum potential gross room revenue of $750,000 at full occupancy.
Based on the illustrative 70% occupancy scenario, generating approximately $525,000 in gross lodging revenue, and estimated annual operating expenses, projected Net Operating Income is approximately $330,000, representing an illustrative projected cap rate of approximately 11.2% based on the $2,950,000 offering price. Estimated operating expenses include property taxes, insurance, utilities, maintenance, cleaning and laundry, booking and payment processing costs, management and other operating expenses.
These projections represent lodging revenue only and do not include potential revenue from extended shoulder-season operation or other business opportunities, providing additional potential upside for an operator. All revenue, expense, NOI and cap rate figures are hypothetical projections provided for illustrative purposes only and are not based on historical operating results or a representation or guarantee of future income, occupancy or performance. Prospective purchasers should conduct their own independent financial and operational analysis.