Real Estate News, Reviews and Investment
From boutique hotels with only three or four bedrooms to skyscrapers and large resorts welcoming thousands of guests, hotels come in all shapes and sizes and offer very different opportunities to visitors and investors alike.
A number of issues are common to all hotels, and all hotel owners will hope for:
As a result, location is critical and savvy developers are always on the look out for situations with income generation or investment potential.
Types of hotels
With a wide range of facilities available on-site, these hotels ensure that their guests never need to leave the resort in order to enjoy their stay. Resort hotels are particularly common in areas of natural beauty such as beaches and mountains. Start-up costs are high as the development is usually extensive. Typical features include:
With land prices at a premium in downtown locations, city-centre hotels will often offer a limited range of facilities on-site but will have many sights and activities on their doorstep. Such a hotel might:
From 17th century English coaching inns to glass houses in the desert, boutique hotels are at their best when they are deeply enmeshed in their surroundings. Often unique and run by the owner, they provide a sharp contrast to the chain hotels and motels. Visitors can expect:
Bed and Breakfast
Usually run out of a building built as a family home, B&Bs often only have a handful of rooms and are usually run by a couple or family who live on site. B&Bs vary widely in price and amenities – some are close to boutique hotels, while others are more like staying with a friend. They are also called guest houses and you may expect:
Sometimes called a youth hostel, these cater to the lowest budgets, and although common in large cities they also often appeal to outdoor enthusiasts and school groups, too. Rural hostels may focus on a particular sport or activity, welcoming the mess and fuss which comes with skiers, muddy mountain bikes or hikers. At their best, they provide a communal spirit and easy camaraderie. Guests can expect:
Budget hotels and motels
A step up from hostels, budget hotels offer private rooms, usually with an attached bathroom, at a lower price than other hotels in the same area. Typical features are:
Extended stay hotels
Often catering to business travellers and workers with high mobility, extended stay hotels may also have short-stay rooms. Extended-stay rooms may be standard hotel or motel rooms or may be more like apartments. These ‘apart hotels’ facilities may include:
Hotel rooms for sale
Some hotels have recently begun allowing investors to buy a room. Much like buying a timeshare apartment, the purchase allows the new owner a certain amount of access to the room (a number of nights stayed in the hotel) as well as a share in the profits made as the hotel rents the room out to other customers.