Award Date

8-2010

Degree Type

Professional Paper

Degree Name

Master of Science in Hotel Administration

Department

Hotel Administration

First Committee Member

Kurt Stahura, Chair

Number of Pages

57

Abstract

In the aftermath of the economic crisis of 2008, it became evident that Nevada’s economy felt pains greater than that of the rest of the country. With sinking property values, opportunities may exist for the hotel investor. The purpose of this paper is to analyze the risks and benefits of acquiring a hotel property through the instrumentality of a hotel feasibility report. The literature review includes an evaluation of hotel feasibility analysis, its historical context, criticisms, and recommendations for performing effective studies. The case study part of this paper investigates the broader implications of hotel acquisition in the current recessionary economy. The target property is a 103-room Quality Inn located in Reno, Nevada. A multi-phased market analysis and income forecast was performed to ascertain a valuation of the property. When compared to the listing price, the valuation indicated the potential for opportunity based on an eventual economic recovery. The paper concludes with a discussion on the investment’s risks, which are inherent in a broader recessionary climate.

Keywords

Economic crisis of 2008; Hospitality industry; Hotel feasibility; Hotel valuation; Hotels; Nevada; Nevada economy; Real estate business; Real property — Valuation; Recessions

Disciplines

Economics | Hospitality Administration and Management | Real Estate

File Format

pdf

Degree Grantor

University of Nevada, Las Vegas

Language

English

Rights

IN COPYRIGHT. For more information about this rights statement, please visit http://rightsstatements.org/vocab/InC/1.0/

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