Historic Tioga Hotel – Chanute, KS Address: 8 & 12 East Main Street, Chanute, Kansas Price: $975,000 Property Type: Hospitality / Mixed-Use / 3 Commercial Kitchens / 4 Dining Rooms / Ballroom / Hair Salon / Office Space Total Square Footage: Approx. 55,000 (52,000 at 12 East Main and 2,742 at 8 East Main) Number of Hotel or Apartment Units: 56, several with kitchenettes (originally was 92 rooms & suites when built but some rooms consolidated) Year Built: 1929 (12 East Main) Parking: Free on-street & free public lots (300+ spots within a block) Zoning: Commercial (Apartments/Hotel/Restaurants/Beauty Salon/Offices) Own a Piece of Kansas History in the Heart of Downtown Chanute, Kansas Step into a landmark of Art Deco architectural charm and modern potential. The Tioga Hotel is a historic 6-story (plus full basement) property anchoring Chanute’s vibrant Main Street corridor. Originally opened in 1929, this building has long served as a symbol of hospitality and civic pride. It features 55 hotel rooms & suites, 3 large commercial kitchens, 2 large dining rooms plus ballroom (all 3 with capacity around 90 each) and 2 smaller dining spaces with capacity around 25 each. There is a laundry room accessible from each hallway on floors 2 through 6 which has a dryer vent that exhausts on the roof. Each of these 5 rooms has one washer and one dryer hookup. There is also a sink in each hallway on floors 2-6. Basement has a large meeting room with full kitchen and bathroom with shower that has previously been used as an apartment for the hotel manager; a large office with a bathroom; a laundry room with 3 washer/dryer hooks, mop sink and storage; and 3 large additional rooms with one of those previously having the beer brewing equipment with natural gas hookup, small vent, and sink hookups. This building was originally built as the Kansas' first "fireproof hotel" which allowed it to be entered into the National Registry of Historic Places in 1990 when it was extensively refurbished and updated to become an assisted living center. In 2004 the current owner purchased the property and converted it into an extended stay hotel, expanded the footprint of the first floor into the property next door (8 East Main), opened restaurant, installed a microbrewery in the hotel basement and beauty salon was installed for lease. There are Federal and State tax credits of 60% available toward qualified remodeling expenses for properties listed on the National Registry of Historic Places. According to the Kansas Department of Revenue https://www.ksrevenue.gov/pdf/k-3524.pdf Historic Tax Credits of 40% are currently being offered and according to the National Park Service, Federal Historic Tax Credits of 20% are currently being offered for rehabbing historic buildings. https://www.nps.gov/subjects/taxincentives/eligibility-requirements.htm. There may also be Federal, State, and Local grants and incentives available. Chanute's economic development website is https://chanuterda.com The hotel was sold on a contract for deed to an LLC that was headed by a Florida man who has been involved in a variety of lawsuits, investigations, and bankruptcies regarding numerous properties purchased similarly throughout the US over the last few years. The current owner now has clear title and possession of the property, and it is available for sale. 8 & 12 East Main Street, the building spans two connected parcels and is ripe for continued use, repositioning, or mixed-use conversion. In addition to a hotel or extended-stay hotel, the property would also be an excellent candidate to be converted into apartments. Sober Living Facility? The property owner has lived in Kansas City for a few years and owns/operates 3 restaurants there. Over the years he has become thoroughly impressed with the numerous sober living facilities that operate in the Kansas City area, knowing numerous individuals who have been successfully rehabilitated through their system. Unfortunately, there are no sober living facilities in the southeast Kansas area. He is extremely interested in seeing this hotel property become a sober living facility because it seems ideally suited for this purpose in numerous ways while potentially helping hundreds of people seeking recovery. A $100,000 discount (or re-investment) will be provided to buyer(s) who will be utilizing the hotel to create a sober living facility. Property Highlights: • Prime Downtown Location with excellent visibility and foot traffic • Historic architecture with preserved brick façade, original details, and timeless character • Potential for multi-use redevelopment: Boutique hotel, apartments, coworking, office space, event space, restaurant/bar, institutional housing • Proximity is located on the busiest corner in downtown Chanute and within a block of the Safari Museum & Library, Chanute Art Gallery, Chanute's Car Museum, Chanute Chamber & Office of Tourism. • Ownership of two parcels (8 E Main & 12 E Main) provides flexibility for expansion or strategic renovation • Roof of 12 East Main is standing seam A-Lert Roof that is at the end of its 20 year warranty and does not leak. The roof above 8 East Main is TPO and about 7 years old and also does not leak. There is an outdoor deck off the 2nd floor that is above the hotel lobby that consists of rolled roofing covered by sand and paving stones which has a couple of leaks and likely will need to be replaced. • According to the technicians who have maintained the Elevator since 1990, it will require an estimated $10,000 to $20,000 to recertify, test and get it back under a maintenance contract. • The hotel originally had a steam boiler system (current boilers installed in 1998) providing heat to the building with the first floor, basement and 2nd floor ballrooom having central air system (installed in 2005) and hotel rooms/suites having window heat/air units. Instead of utilizing the boiler system for heat, potentially switching to new high efficiency heat pump/air units for all common areas and window unit versions of that for hotel rooms/suites would be a good option to explore. Investment Potential The hotel has not been occupied for a few years and it will require $200-300k to replace HVAC systems, recertify the elevator, remodel, re-roof the 2nd floor deck above the hotel lobby, and etc. Whether you're an investor looking to add a high-visibility property to your portfolio or a developer seeking a flagship project in a growing Midwestern town, the Tioga Hotel offers unmatched upside. Chanute is a regional hub with a supportive community, historical tourism appeal, and ongoing revitalization efforts.