Overview of Hotel Valuation Techniques and Procedures

These articles focus on specialized hotel valuations which often require a unique approach or knowledge.  Topics such as valuing distressed hotels, investment valuations, motel valuations, valuing during economic downturns, rules of thumb and others are included in this section.

These articles written more than 30 years ago show how the hotel valuation methodology has evolved over time.  The biggest change occurred with the introduction of the personal computer which provided the analyst significantly more number crunching power.

As the Founder of HVS with more than 50 offices all over the world- I always applied the same hotel valuation techniques for all regions we worked in.  What produced different valuations were the local characteristics such as labor costs, financial structures, and operating and capital costs.  These articles detail these differences and their impact on the final valuation. 

This significant article traces the growth and development of the United States hotel industry from its early year to fairly recently.  It describes the various supply and demand economic cycles, types of hotels, risk factors, and other important considerations for hotel appraisers and consultants.

This article demonstrates how to evaluate hotel trends such as supply and demand, rate, occupancy and REVPAR and values across macro and micro markets.

HVS has been the leader in producing highly detailed hotel appraisals and feasibility studies.  Take a look at these sample reports.