A regional lender engaged The McEnery Company to provide an AS IS and Prospective Market Value conclusion for a now complete renovation to the Hampton Inn on Carondelet Street in Downtown New Orleans. At the time of our appraisal, the property was a 187 room Hampton Inn flagged limited service hotel housed within a 170,957 square foot, fourteen-story historic building located in the heart of the New Orleans Central Business District. The building was originally constructed as an office building in 1903 and was converted to the hotel in 1994. Our scope of work included the prospective valuation of proposed renovations resulting in the conversion of the current Hampton Inn to a Hampton Inn and Suites; and analysis also required duly aligned capitalization of net income sourced to ground floor 3rd party tenant suites include a Jos. A. Bank retail location. The conversion would include the addition of 23 suite-style units as well as the complete renovation of the existing 187 rooms. The renovation was well supported by a robust lodging sector in the Downtown New Orleans market area. As is the case with all of our hotel and lodging related work, an in-depth analysis of REVPAR performance of direct competition in this immediate trade area was fully developed in our Income Approach. This Hampton Inn is one of the best performing hotels in the New Orleans area from an occupancy perspective.
