Location: Ketchum, ID
For Sale Website:
The attached spreadsheet model is for Tamarack Lodge in Ketchum, Idaho. It is currently listed at $4,495,000. This model includes a pro forma income statement and balance sheet for the hotel, along with corresponding ratio, breakeven, cost of capital, and internal rate of return analysis. All assumptions are stated as they relate to the market and area.
After looking at the data in this forecast model, we have concluded that Tamarack Lodge is a profitable business. The weighted average cost of capital is 9.11% because the only debt the hotel would incur would come from the mortgage. With all other input values as determined, the internal rate of return is 9.35%. Without taking out additional loans, these numbers cannot be made any closer. With an internal rate of return higher than our cost of capital, the sales price of the hotel is a deal for the income it will generate.