Executive Summary
Prosper RED presents a premier hotel acquisition opportunity in Pocatello, Idaho—a strategically positioned market with strong fundamentals and significant upside potential. This investment combines the stability of real estate with the cash flow advantages of an operating hospitality business.
Our operator partners bring extensive experience managing 78 properties across 10 states, generating $265 million in annual revenues. Their systematic approach to identifying underperforming assets and implementing operational improvements has consistently delivered exceptional returns.
This offering provides investors access to a carefully structured debt and equity position, secured by conservative leverage and supported by proven management expertise.
Strong Security Profile
Conservative Capital Structure
This investment benefits from multiple layers of protection designed to safeguard investor capital while maintaining attractive return potential.
46% Loan-to-Value Ratio
Substantial equity cushion provides downside protection and ensures significant margin of safety
409% Interest Coverage
Operating cash flow covers debt service by more than 4x, demonstrating robust financial performance
Personal Guarantees
Full recourse to owner and operator adds additional security layer beyond property collateral
Proven Partnership
Prosper RED has successfully completed prior investments with this operator, demonstrating reliability
Investment Structure Benefits
The hybrid debt-equity structure provides investors with predictable interest income while participating in property appreciation and operational improvements.
Returns include both a fixed annualized interest rate paid regularly and an equity share distributed upon exit. This structure balances current yield with long-term capital appreciation potential.
Experienced Operator Profile
Our operator partners represent one of the most experienced and successful hotel management organizations in the region, with an exceptional track record of value creation through operational excellence.
78
Properties Under Management
Diversified portfolio across 10 states demonstrates scale and expertise
$265M
Annual Revenue
Substantial revenue base reflects operational sophistication and market presence
40+
Years Combined Experience
Deep industry knowledge and relationships built over decades
Systematic Value Creation
Viral Shah previously founded and successfully exited a hospitality analytics company specializing in hotel performance optimization. This proprietary expertise enables them to identify underperforming assets and implement data-driven improvements that consistently enhance profitability.
Their systematic, repeatable process targets properties with operational inefficiencies, implementing best practices in revenue management, cost control, and guest experience that drive sustainable improvements in net operating income.
Hotel Operation Team
Purvish Soni
Experienced hospitality professional with over 10 years of expertise in hotel management and operations. Proven track record of managing and leading branded properties under Marriott, Hilton, Choice Hotels, and Wyndham systems, with a strong focus on performance excellence, compliance, and guest satisfaction. Strategic ability to identify unique opportunities for value creation.
Viral Shah
Tech-driven entrepreneur with deep roots in hospitality and a passion for transforming data and operations into intelligent, automated systems. He founded HelloGM, a breakthrough analytics and automation platform that enabled hoteliers to track performance, optimize revenue, and scale operations with precision. The success of HelloGM paved the way for Viral’s continued expansion in hotels across North Carolina, Utah, Idaho, and Montana, where his analytical and operational discipline continue to drive measurable profitability.
Recent Capital Improvements
Extensive improvements completed by previous owners since 2022 minimize future capital expenditure requirements for investors, significantly reducing acquisition risk.
Room Upgrades (~$276K)
Focus on enhancing guest comfort and modernizing living spaces.
- Large fridges in all rooms ($51,500)
- New signage, mattresses, microwaves, shelving in 50 rooms
- 50 rooms renovated to make them rentable
- Hot plate installation in 50 rooms
Building Infrastructure (~$416K)
Ensuring long-term structural integrity and energy efficiency.
- 90% of roof replaced ($249,162)
- Stucco repair, fascia, gutters, scuppers ($106,428)
- HVAC system repair ($65,000)
- LED lighting upgrade ($19,000)
- New hot water heaters ($20,000)
Guest & Operational Amenities (~$166K)
Improving guest convenience and property operational reliability.
- 8 Guest laundry machines ($19,000)
- Deck and pergola in atrium ($10,500)
- Outdoor step repair, landscaping renovation, sprinkler repair ($51,541 + part of $205K)
- Secondary guest check-in & Front lobby renovation ($17,500)
- Water softener rebuild ($19,198)
- Pool pump & Roomba ($8,750)
- Front sliding door replacement ($9,976)
- Fire system monitoring & emergency exit signs ($5,300)
Total Recent Capital Improvement Expenses Since 2022: $858,402.52
Next Steps
Thank You for Considering This Opportunity
We appreciate your interest in this exclusive Pocatello hotel investment opportunity. Our team is committed to providing detailed information and answering any questions you may have about the investment structure, property details, or projected returns.
To move forward, please reach out to a member of our team to schedule a confidential discussion and receive complete offering materials and subscription documents.
We look forward to partnering with sophisticated investors who recognize the value of combining conservative leverage, experienced operators, and a compelling market opportunity.
Investment Contact
Schedule a call with a member of our Prosper RED management team to get started.