HOTEL VALUATIONS

Estimating the value of existing or planned resort facilities entails accurately balancing the value of the real estate and the profitability of the business.

Assessment methods used take into consideration both the asset value and the financial business value, and such methods are finely adjusted to suit the specific needs and types of evaluation to be carried out. The valuation takes account of various aspects, including:

• estimated turnover and profitability deriving from managing the resort (according to destination, location, benchmarks, market positioning, occupancy rates, etc.)
• determination of the "building-costs-to-business-management ratio" (under either lease or management contracts)
• expected yield range

For hotels that are currently operating, surveys can be carried out on behalf of financial institutions and real estate funds.