WICHITA, Kan., Dec. 15 /PRNewswire/ -- Kanmo Partners of Salina, Kan., has signed an agreement with Value Place to build four hotel-apartment properties in the Tucson, Ariz., area. This is the group's first investment in the hospitality industry. "We're pleased that Kanmo recognized Value Place as a smart real estate investment," says Gina-Lynne Scharoun, president of Value Place Franchise Services ( http://www.myvalueplace.com ). "As first-time lodging investors, they found our simple operations model very appealing." Value Place is a short-term residential hotel-apartment hybrid that offers stays of a week or longer to residents. It is the only national brand offering low-cost, cleaner and safer apartment-style lodging. Lodging industry visionary Jack DeBoer founded the company in 2003. The group's first property is located in south Tucson, near the intersection of Ajo Way and Interstate 10. It is near the Veterans Affairs Medical Center. Construction start is planned for late spring 2006. Weekly rates for the 121-unit property will start at $179. Value Place headquarters are in Wichita, Kan. A total of twelve properties are open in Bentonville, Ark., Kansas City, Mo., Lincoln, Neb., Lubbock, Texas, Myrtle Beach, S.C., Oklahoma City and Tulsa, Okla., Omaha, Neb., and Wichita. Eight more are under construction. In just more than one year of offering franchises, the company has already signed more than 220 franchise commitments. Value Place properties are set to open or be under construction in more than 23 states within two years. Franchisees -- hotel owners, real estate and apartment developers and others -- can benefit from the brand's investment potential and operating efficiencies. Value Place offers lower start-up and operating costs, which affords the opportunity for greater potential revenue per square foot compared to traditional rental properties. For residents, Value Place offers simple, yet high quality accommodations. Residents are business owners, contractors and others, including those who need short-term housing. Founder DeBoer invented the extended-stay concept and founded three successful hotel brands. He was also the second largest apartment developer in the U.S. during the 1970s. He considers Value Place his best real estate investment yet. It is DeBoer's first venture in the economy-lodging segment -- one he feels is lacking in suitable, affordable accommodations.
SOURCE Value Place