Traditional Culture Encyclopedia - Hotel reservation - What is the return on hotel investment?

What is the return on hotel investment?

About 35-40% per year.

Because generally speaking, there are many different types of hotels invested, such as folk customs, inns, small apartments, express hotels, theme hotels, star-rated hotels, luxury hotels and so on. The specific rate of return is related to factors such as hotel management and site selection.

Take the investment in express hotels as an example. If the net profit is calculated at 20% per year, it can be returned in about 5 years. However, if the net profit is calculated at 65,438+00% per year, it will take 65,438+00 years to return to the capital.

Under normal circumstances, the average annual return rate of budget hotels is around 25%, which means it will take four years to return to the capital.