- What The Best Western Plus Parry Sound sold for $245,000/room
- Why The acquisition was financed with a loan from CFO Capital
- What next The buyers plan to purchase roughly one hotel per year
An upscale hotel in Ontario’s cottage country has sold for roughly $23m, Green Street News can reveal.
Maruti Empire offloaded the 93-room Best Western Plus Parry Sound this month for about $245,000/room. The cash flowing hotel is managed by a third party, and labour is not unionized.
The purchase marks the first foray into the hospitality sector for the buyers, identified only as private investors in the trucking and garment industries. The pair plan to continue their venture with one hotel purchase per year.
The acquisition was financed with a loan from CFO Capital. The Markham-based financial institution provides debt with loan-to-value ratios of up to 75%, with one- to five-year terms and 25-year amortization periods.
The hotel, just off Highway 400, is at 2 Pine Drive, 3km from downtown Parry Sound. It’s 55km north of Muskoka, and 245km from Toronto.
The Best Western Plus Parry Sound was built for $10m and opened in November 2022. Amenities include car charging stations, an indoor pool, and a 24-hour fitness centre.
Maruti Empire operates franchises in Canada and the U.S. Its portfolio includes fast food chains Pizza Hut and Subway. Mike Patel is co-founder and CEO, and Rohit Patel is co-founder and COO.
Best Western Plus is owned by Best Western Hotels and Resorts, a subsidiary of BWH Hotels Group. Led by president and CEO Larry Cuculic, the BWH Hotels portfolio comprises approximately 4,300 hotels globally.
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