This semi-absentee operated Hollywood Area youth hostel boasts an easy to access non-main street location that also functions to alleviate the lease rates associate with the competing Hollywood Boulevard venues. The hostel boasts a modern design that appeals to its target client base, which are 18-34 year old international travelers.
The hostel offers patrons a variety of dining, entertainment, tour and sleeping options depending on their budget, group size and accommodation preferences. They provide the industry's most economical sleeping arrangements, bunk beds in shared 4, 6 and 8 bed dorm rooms, as well as single, double or queen private rooms. The rooms has both shared and private baths. They estimate that they are 85% booked during the peak season and perhaps 50% full during the shoulder season.
This 11,000 square foot facility leases for $26,300 per month on a lease with 9 years remaining and a 5 year option. All of the business's furniture, fixtures, equipment and goodwill will be included in the sale.
While competing hostels exist in the main tourist areas of Los Angeles, with Hollywood likely being the most popular destination followed by the Venice / Santa Monica corridor and then the LAX airport area, comparatively this location may be described as slightly more of a tranquil sanctuary type of atmosphere as it's not in Hollywood's epicenter. This cuts both ways, as they may not have direct Hollywood Boulevard appeal, but they also do not have Hollywood Boulevard congestion and rent. This provides them a unique competitive advantage, as many hostel customer travelers name price as their single largest criteria when evaluating accommodation options.
Since the venue is semi-absentee operated, it stands to tremendously benefit from a full-time onsite working owner-operator that is customer-friendly and service-oriented. Experienced hostel operators, those familiar with hotel operations or those who have frequented hostels worldwide may choose to take this opportunity in any number of directions. With the proper oversite and management the venue has the ability to become a top producing hostel that ensures all patrons have a fantastic experience, while owners maximize receipts. The venue receives top placement from booking sites such as Booking.com, Expedia / Orbitz and Hostel World. They also receive walk-in traffic and patrons from organic search results from to their website.