Waukesha Hospitality COO discusses Ingleside Hotel's financial challenges and recent sale efforts

The City of Waukesha's Board of Review convened on July 11, 2025, to discuss the financial performance and valuation of the Ingleside Hotel, a key property in the area. The meeting highlighted the challenges faced by the hotel, particularly in the wake of the COVID-19 pandemic, which significantly impacted occupancy rates and revenue.

The hotel's Chief Operating Officer, who has been with Waukesha Hospitality since its inception in 2016, reported an average occupancy rate of just 48% for 2024, notably below the competitive set average of 53.7% and the national average of 63%. This low occupancy has resulted in a gross income of approximately $14 million against operating expenses of over $13 million, leading to a tight income-to-expense ratio of 92%. The COO emphasized that the hotel's full-service nature, including a water park and extensive convention space, contributes to higher operational costs compared to select-service hotels.

The Board reviewed the hotel's financial statements and discussed the implications of the current assessment value of $18.1 million. The COO expressed concerns that this assessment does not reflect the hotel's performance, stating that the high expenses could hinder future investments needed for improvements and competitiveness.

The Board also heard from the city assessor, who maintained that the current valuation was appropriate based on industry standards and recent market trends. The assessor noted that while the hotel industry has faced challenges, the unique attributes of the Ingleside Hotel, such as its water park, should ideally enhance profitability.

As the meeting concluded, the Board opened the floor for questions, indicating a collaborative approach to understanding the hotel's financial situation and its implications for the community. The discussions underscored the ongoing recovery efforts in the hospitality sector and the importance of accurate property assessments in supporting local businesses.