How Much Do Hotels Usually Sell For? Valuation Multiples for a Hotel or Motel

EBITDA Multiples for a Hotel or Motel

EBITDA, or Earnings Before Interest, Taxes, Depreciation, and Amortization, is another commonly used valuation multiple in the hospitality industry. It measures the property's operating performance by considering its earnings before various expenses. EBITDA multiples are useful for comparing hotels or motels with similar financial profiles.