Investments in the hospitality industry such as hotel and resorts are unique due to the combination of real estate and business investment. Many attributes of a business are displayed together with a high capital outlay that is the norm in investment sales. Unlike standard properties, rentals of resort and hotel rooms have a short shelf life, as guests stay for as little as a day.
Rental rates can also vary widely during the year depending on seasons and local events. Also, unique to the hospitality world, is the level of management and staffing necessary to operate each facility. All of these factors can directly contribute to the value of the property, offering an intriguing and profitable potential for real estate investments.