30-Key Independent Motel + Owner’s Suite + Liquor Store
1180 W Frontage Rd, Owatonna, MN 55060 | Asking: ~$30,000/key (hotel) + $250K for liquor business
Offer Summary:
Acquire a fully operational, 30-room independent motel with live-in owner’s suite and a proven liquor retail business, all at a price point well below replacement cost — a rare find in today’s hospitality market.
Investment Highlights
Attractive pricing structure: ~$30,000 per key (˜ $900,000 for the lodging component), well below hard-cost replacement of new midscale hotel construction in this market.
Dual revenue streams: Independent hotel plus an attached, established liquor store (offered separately at $250,000) with loyal clientele.
Location & visibility: Immediate I-35 frontage, walkable to Walmart, restaurants, and ~1.5 miles to Cabela’s; ~2 miles to Medford Outlet Mall.
Demand drivers: In close proximity to Federated Insurance HQ, Viracon glass plant, Cargill facility, and Steele County Fairgrounds event traffic.
Operational efficiency: Two-story, mixed interior/exterior corridors; owner’s suite enables live-in management; existing infrastructure in place.
Upside potential: Rate growth, extended-stay/kitchenette mix expansion, soft-brand conversion, cost controls and liquor cross-sell synergy.
Property & Business Features
Keys / Layout: 30 rooms, mix of kings, doubles, select kitchenettes; some interior corridor access; secure entry points.
Building and site: ~11,714 SF on ~0.85 acres; two stories; prior renovations have maintained core systems.
Parking & access: Generous striped lot, drive aisle layouts, ability to handle guest car flow with minimal on-site conflicts.
Liquor Store: Hi-Way Liquor attached; consistent sales, strong margins, cross-sell traffic from guests and local regulars.
Licensing: All applicable lodging and liquor licenses current; liquor revenue and inventory to be accounted for separately.
