Market & Financial Feasibility Study

H&LA sets the industry standard for high-quality, thorough market and financial feasibility studies. We understand that an insightful, well-researched hotel or leisure property feasibility study is the most important aspect of reasoned decision making when planning a hospitality property. Our studies assist our clients in the decision-making process as they determine how to proceed with a proposed project.

A market and financial feasibility study is typically prepared for proposed projects or for existing properties being considered for significant changes.  The study analyzes market conditions, economic and demographic factors, site conditions, and competitive properties entering or leaving the market.  We research properties that are closing and new supply additions. We analyze existing and projected demand generators in the market. The study estimates the operating performance of the proposed project and may suggest variations in size or scope. Lenders, developers, owners, and managers rely on H&LA to provide insightful and accurate analysis regarding the feasibility of proposed projects. We tailor the scope of our assignment to each client’s needs.

The market and financial feasibility study includes the following components:

  • Area, demographic, and neighborhood analysis
  • Site review
  • Proposed development recommendations and costs
  • Market analysis
  • Proposed development usage and pricing analysis
  • Financial analysis
  • Valuation analysis
  • Comparison of value created to projected costs

As part of our studies we:

  • Conduct extensive supply and demand interviews when researching performance levels of hotels and leisure real estate within local and regional markets.
  • Utilize a sophisticated hospitality valuation and analysis model that provides a detailed analysis of a market by evaluating competitive factors, databases of financial information, comparisons with similar properties, and industry standard reports.
  • Review data generated from Smith Travel Research, the Host Study, International Association of Amusement Parks and Attractions, the World Waterpark Association, National Ski Area Association, the American Resort Development Association, the National Golf Foundation, and the National Restaurant Association.

We offer hotel feasibility studies, waterpark feasibility studies, golf course feasibility studies, ski resort feasibility studies, conference center feasibility studies, sports complex feasibility studies, and amusement park feasibility studies.

View the Table of Contents for a typical Feasibility Study.