Congratulations to Chuck and Jackie Leopold on becoming the new stewards of this beautiful Inn. Sellers Trey and Dana Tumminello are passing along not only a piece of history, but also a thriving business.
This will become the 4th Select Registry property in the Leopolds’ B&B portfolio…illustrating the financial significance of what we term “Investment Grade” Inns. These are businesses that have profit margins – and thus capitalization rates – that are significant enough to attract investor-operators in addition to the classical owner-operators who participate in the boutique hospitality industry.
Generally, these types of Inns have multiple, highly profitable lines of business – in this case, cabin rentals and a spa, in addition to more traditional bed and breakfast operations. Steeles Tavern Manor also provides an excellent example of another common feature of Investment Grade properties: when they become available, they tend to sell very quickly. Almost exactly one month after listing, we had an acceptable LOI in place.
In practical terms, this shows both the importance of strong business performance, and the value of a strong business brokerage team like MB&A. We sell Inns!
