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The Real Estate Investing Club
Real estate pros share their stories on how they got started investing in real estate and then grew from their first deal to a portfolio of cash-flowing properties. In each episode you'll learn the strategies our guests used to create generational wealth for themselves and their families, and the steps you can take to do the same in your own back yard. Our goal at The Real Estate Investing Club is to teach you the fastest ways to start and grow your real estate investing career in today's market - from multifamily, to self-storage, to mobile home parks, to mix-use industrial, you'll hear it all! Our guests share their career peaks and valleys and the best advice, greatest stories, and favorite tips they learned along the way. Want to create wealth for yourself using the vehicle of real estate? Getting mentorship is the fastest way to success. Get an REI mentor and check out our REI course at https://www.therealestateinvestingclub.com.
The Real Estate Investing Club
Boutique Hotel Goldmine: $200K Profit From ONE Building 🏨
Join an active community of RE investors here: https://linktr.ee/gabepetersen
TRANSFORMING COMMERCIAL REAL ESTATE INTO CASH-FLOWING BOUTIQUE HOTELS
Discover how Andrew Llewellyn accidentally stumbled into one of the most profitable real estate niches: boutique hotel conversions 🎯 What started as a failed bakery expansion turned into a thriving hospitality business generating $200,000 in annual net income from a single property. In this episode of The Real Estate Investing Club podcast, Andrew shares the exact strategy he used to transform a 10,000 square foot commercial building into the Swepson Guest House, a luxury boutique hotel that caters to corporate retreats and upscale bachelor parties 🎉
THE COMMERCIAL CONVERSION OPPORTUNITY MOST INVESTORS MISS
While traditional real estate investors focus on residential rentals or commercial office space, Andrew identified a massive gap in the market for private group accommodations. His property generates between $2,500 to $3,000 per night for full buyouts, with Kentucky Derby weekend commanding up to $20,000 per night 💸 The secret? Providing hotel-level consistency and service without the corporate overhead of traditional hospitality operations.
FINANCIAL PERFORMANCE THAT BEATS TRADITIONAL REAL ESTATE
Andrew breaks down the complete financial picture of his first boutique hotel conversion. Starting with a $950,000 purchase price during peak COVID uncertainty, he invested an additional $550,000 in renovations to create five units with 15 bedrooms and 10 bathrooms. The property now generates $400,000 in annual gross revenue with a 50% profit margin, resulting in $200,000 in net income 📊 These numbers demonstrate the power of combining real estate with strategic hospitality operations.
SCALING THE BOUTIQUE HOTEL MODEL WITH OFFICE CONVERSIONS
Andrew's second project takes the concept even further. He acquired an 18,000 square foot brutalist office building that sat on the market for 500 days for approximately $1 million. The building will undergo a complete gut renovation with a $3-4 million budget to create eight four-bedroom units, plus a basement speakeasy, conference center, and chef's kitchen 🏗️ This deal showcases how distressed commercial properties can be transformed into premium hospitality assets.
TARGET MARKET STRATEGY: WHO PAYS PREMIUM PRICES
Success in the boutique hotel space requires laser focus on the right customer segments. Andrew targets corporate retreats during weekdays and bachelor parties for men aged 28-40 who prioritize experience over price 🎯 These guests want private spaces, consistent quality, and premium amenities without the hassle of coordinating multiple hotel rooms or dealing with generic conference centers. By avoiding price-sensitive customers and focusing on experience-driven buyers, Andrew maintains higher rates and better margins.
#BoutiqueHotels #RealEstateInvesting #CommercialRealEstate #AirbnbInvesting #HospitalityBusiness
Want to learn more about our guest? Connect here: superstaysstr.com
Want to learn more about the REI Club Podcast, how to invest with Gabe at Kaizen, or join our community of active real estate investors on Skool? Visit the podcast website at https://www.therealestateinvestingclub.com or click here: https://linktr.ee/gabepetersen
Join the Online Community here: https://linktr.ee/gabepetersen.
