hotel property valuation
Finding out the true value of your building is the first step to making a smart business move. Whether you want to sell, get a loan, or just check your progress, hotel property valuation helps you see the big picture clearly. You need to know what your assets are worth in today's market so you do not leave money on the table.
Owning a hotel is different from owning a regular house or an office. When you look at a hotel, you are looking at both a piece of real estate and a busy business. This means you cannot just look at the walls and the roof. You have to look at how many people sleep in the beds and how much they pay for dinner.
If you are looking for hotel property valuation services, you likely want to grow your wealth. Knowing your value helps you talk to banks with confidence. It also helps you set the right price if you decide to find a new owner for the building.
There are three main ways that professionals look at your property. Each one tells a different story about your money.
This is the most common method. It looks at how much money the hotel makes after all the bills are paid. If your hotel is full most nights and your restaurant is popular, the value goes up. Experts look at your past few years of books to see a pattern. They want to see that your profit is strong and likely to stay that way.
This method is like looking at what your neighbors are doing. If a similar hotel down the street sold recently, that price gives us a clue. We look at things like:
This one is simple. It asks: "How much would it cost to build this exact hotel from scratch today?" We add the price of the land to the price of the building materials and labor. Then, we take away some value because the building is not brand new anymore.
Many small things add up to a big price tag. If you want to increase what your business is worth, focus on these areas.