A Commentary on the Case Study of State-Owned Hotels in China

The comparison of Stephen Rushmore’s seven hotel valuation techniques provides a starting point for approaches to valuing government-owned hotels in the People’s Republic of China. Although the authors express concern because of a relative lack of published lodging valuation data for China, until relatively recently appraisals have been performed without third-party data even in the United States. In-person interviews almost always overcome any lack of published data. Hotel valuation relies on the skill of the researcher, especially because selection of discount and capitalization rates involves judgment.