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0:00 Introduction and Guest Welcome 2:30 From Ice Cream Shop Owner to Real Estate Investor 4:45 The Accidental Discovery of Boutique Hotel Conversions 8:15 Corporate Retreats vs Bachelor Parties: Finding Your Niche 11:15 Financial Breakdown: $950K Purchase to $400K Annual Revenue 13:00 The Next Deal: Converting a Brutalist Office Building 16:30 Quick Question Round: Education and Mentorship Recommendations 19:00 Metro Focus: Why Downtown Louisville is the Place to Be 20:15 Biggest Lesson: Keep Meat on the Bone When Underwriting 21:35 Using AI to Generate Leads and Automate Guest Communication
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.
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
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