How do I check a motel’s rooms and building before buying?
Walk the motel yourself before you hire an inspector. See every room, including any out of order, note the age of beds, furniture and bathrooms, ask when the last renovation was and what is next, then check doors, roofs, walkways, heating and cooling units, laundry, the sign, the pool, the parking lot and the maintenance log.
A professional inspection is worth having, but it is better used once you already know the building’s story. Your own walk-through costs nothing and tells you what to point the inspector at. Take a notebook and your phone, go at an ordinary time of day, and ask the seller to open every door. Do not accept a sample of rooms. The unlisted ones often tell you the most.
Every room, every time
See all rooms, including those marked out of order. Look at the beds, mattresses, furniture, flooring and bathrooms, and write down how old each looks. Run the shower, check the heating or cooling unit, and smell for damp. Ask why any room is out of service and what bringing it back would take. Photograph each room so you can compare them later.
The renovation cycle
Ask when rooms were last renovated and in what order. A motel is usually renewed a few rooms at a time, so you may find several different ages under one roof. What matters is what comes next and who pays for it. Match what the seller says against the room-by-room record and the maintenance log. Gaps between the two are worth a polite question.
Outside and shared areas
Walk the exterior doors, walkways, railings, roofs and drainage. Look at the laundry, the sign, the pool if there is one, and the parking lot. These are expensive to repair and easy to overlook on a first visit. Our hotel and motel buyer checklist lists the professional inspections to book after your own visit is done.
What to bring home
- A room-by-room list with notes on age and condition
- Photos of any problem and of the rooms out of order
- The maintenance log and renovation record
- A list of items to point out to your inspector
Related reading
15 pages on the same subject, grouped by topic.
Due diligence
Buying
Selling
Sources
This answer is checked against primary sources. Links were last confirmed on the dates shown.
- 01Business Development Bank of CanadaGovernmentHow to conduct due diligence when buying a business
- 02Business Development Bank of CanadaGovernmentWhat are the steps to buying a business?
- 03Business Development Bank of CanadaGovernmentAfter buying a business, what is the next step?
- 04Canada Revenue AgencyGovernmentBuying a business
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