This is the Nature's Inn Case from Edition 3, page 226 Case: Motel Location for Nature's Inn Nature's Inn operates a motel chain with two types of motels. Under its brand Comfort Express (CE), it offers a relatively inexpensive, spartan motel. Under its Family Suites (FS) brand, it offers a more expensive motel distinguished by various extra features. Both brands are associ- ated with the latest ideas in green building design, attracting a segment of the customer market that is willing to let considerations of sustainability influence its purchasing decisions. Following a successful first round of expansion in the Northeast region, Nature's Inn is planning another round of expansion, this time into the Midwest region. Working with a real estate consultant, Nature's Inn has identified ten potential sites for the location of new motels. Each site can accommodate either a CE motel or a FS motel (but not both). Using historical data from the Northeast region, the consultant has estimated the net pre- sent value (NPV) of the cash flows attainable over the next ten years at each location, with sep- arate figures for CE and FS. EXHIBIT 6.1 Proximity Data and Economic Estimates Locations Locations CE NPV FS NPV Location within 30 miles within 40 miles ($ million) ($ million) 2, 6 10.147 11.899 12.191 11.242