Hotel Valuation Questions

[Zach Schwarzmiller]

Greetings - I have a client whom is interested in potentially selling a large hotel (multiple buildings) located in the Downtown CBD Core of Eastern Washington (state). Sales comparable are not readily available for the hotel industry so I am curious as to how most investors are valuating these investments on both acquisition and disposition. There are obviously a lot of variables; however, I am just looking for some general guidance. I have a good grasp of valuation on most all other commercial asset classes, just not sure what I need to tweak to accommodate hotel type asset.

Thank You!