Home › Hospitality › How Much Does It Cost to Build a Hotel?
3rd Act Guide
How Much Does It Cost to Build a Hotel?
The honest answer is a range, and the useful answer is knowing which variables move it. Flag selection sets the standards manual, which sets room dimensions and finish levels. Key count drives everything structural. Site work, parking strategy and FF&E allowance routinely swing a pro forma more than the building itself does.
Frequently Asked Questions
What drives hotel construction cost the most?
Flag standards and key count. The brand manual dictates room size, corridor width and finish tier before the architect makes a single discretionary decision.
Is a conversion cheaper than ground-up hotel construction?
Often, where floor plate depth, slab-to-slab height and existing egress support guest room layout. Where they do not, conversion costs can exceed ground-up.
What is FF&E and why is it budgeted separately?
Furniture, fixtures and equipment. It is separated because brands specify it independently of construction and it is frequently procured on a different contract.
Related Reading
- UP hospitality architect
- ACROSS key count
- ACROSS brand standards
- PROOF Hyatt House
- PROOF Marriott AC Hotel