The Blue Collar Arbitrage Play
Acquire a cash-flowing hospitality asset at land value ($30k/key) and pivot to high-yield Workforce Housing serving the $5.6B industrial expansion in Tuscarawas County.
Asset
Days Inn New Philadelphia
Price
$2,500,000
Keys
83 Exterior Units
The "Supply Cliff" Opportunity
We are entering 2026 with a severe housing deficit. High construction costs have halted new affordable apartment builds, creating a zero-supply environment for the working class.
Yet, blue-collar job growth in New Philadelphia is exploding. By acquiring this asset at a basis of ~$30,000 per key (significantly below replacement cost) and repositioning it as "Corporate Lodging," you capture high yields driven by industrial contracts, not nightly tourism.
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Exterior Corridors: Preferred by contractors for direct access to work trucks/tools.
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Extended Stay Model: Reduces housekeeping labor costs by up to 60%.
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Tax Advantage: Stays of 30+ days are exempt from 13% lodging tax in Ohio.
Acquisition Basis
$30,120 / Key
Why Tuscarawas County?
Two multi-billion dollar industries are colliding in this zip code, creating an immediate housing shortage.
The EV Manufacturing Boom
Schaeffler Transmission Systems
Schaeffler is constructing a new $230M manufacturing facility in neighboring Dover, OH.
- Creation of 650 new full-time jobs.
- Influx of construction crews for 18–24 months.
- Problem: Zero apartment inventory available.
The Energy Resurgence
Utica Shale & EOG Resources
EOG Resources recently acquired Encino Acquisition Partners for $5.6 Billion, signaling a massive ramp-up in drilling.
- Oil/Gas crews need housing for 3–9 month stints.
- Cannot sign 12-month leases.
- Opportunity: High premiums for "All-Inclusive" units.
The "Blue Collar Suite" Pivot
1. The Asset
Leverage the exterior corridor layout. Market "Direct-Access Units" where technicians can park immediately in front of their doors for security and ease.
2. The Retrofit
Capex of ~$5k/key. Install durable LVP flooring, upgrade Wi-Fi to enterprise speeds, and add kitchenettes (fridge/microwave/induction) for long-term comfort.
3. The Contract
Bypass OTAs (Expedia). Sign direct B2B master leases with HR directors at Schaeffler and Gradall for guaranteed monthly occupancy.
The "Napkin Math"
| Metric | Traditional Hotel | Workforce Housing |
|---|---|---|
| Target Occupancy | 55% (Seasonal) | 85%+ (Stable) |
| Rate Structure | $75.00 / Night | $325 / Week (Flat) |
| Housekeeping | High (Daily Turns) | Low (Weekly Turns) |
| Marketing Cost | 15-20% (OTA Commissions) | Near Zero (Direct Contracts) |
| Lodging Tax (Ohio) | ~13% Paid to Gov | 0% (Exempt after 30 days) |
*Projections are estimates for illustration purposes only. Buyers should perform their own due diligence.
PRIME LOCATION
Right off I-77 & US-250
Secure This Deal
We have the inventory. We have the employer contacts. Who has the vision?