Online Hotel School

Welcome Guest !
please login or register a new free account.

Home | Archives | Submit Article | Top Rated | Advance Search | Contacts Us | Rss Feeds

    Main Categories
Accounts Training
Banquets and Conferences Training
Bar Training
Food and Beverage
Food and Beverage Checklist
Food and Beverage Manual
Food and Beverage Policies
Food and Beverage Policies and Procedures
Food and Beverage Procedures
Food and Beverage Service
Food and Beverage Training
Food Production Training
Free Hotel Management
Free Hotel Management Training
Free Hotel Training
Front Office Checklist
Front Office Manual
Front Office Policies
Front Office Policies and Procedures
Front Office Procedures
Front Office Training
General Category - Hotels
Hotel Checklists
Hotel Construction and Development
Hotel Engineering
Hotel Forms
Hotel Licences and Permits
Hotel Management Training
Hotel Schools
Hotel Standards
Hotel Terminology and Glossary
Hotel Training Videos
House Keeping
House Keeping Checklist
House Keeping Manual
House Keeping Policies
House Keeping Policies and Procedures
House Keeping Procedures
House Keeping Training
Human Resources Training
Kitchen Checklist
Kitchen Manual
Kitchen Policies
Kitchen Policies and Procedures
Kitchen Procedures
Kitchen Training
Purchase Training
Restaurant Training
Room Service Training
Safety and Security Training
Sales and Marketing Training
Standard Operating Procedures
Stores Training
Wine Training

  More Options
Most read articles
Most rated articles

Subscribe now and receive free articles and updates instantly.
Your name Your Email

titles description    advance search
Published : May 03, 2012 | Author : Santosh
Category : Hotel Construction and Development | Total Views : 3049 | Unrated

International Hotelier and Trainer.

The cost of capital in making a hotel is the minimum rate of return expected by its investors. It is the weighted average cost of various sources of finances used by a hotel. The capital structure may be in the form of debt, preference capital, retained earnings and equity shares. A decision to invest in a particular hotel project depends on the cost of capital of the firm, and a fixed minimum rate of return expected on its investments, so as to maintain the market value of its share.

Building a hotel is a unique project, in contrast to the manufacturing sector where cost components are highly standardised, precisely prescribed, or directly derived from the production capacity proposed. All the cost components, in a hotel project, are left to the choice of the promoters. The variations while making a hotel are on account of the differences in land costs, hotel concepts, services and facilities provided and so on.

The building cost depends on the architect's plan, which is in turn, the replica of the promoter's concept of the hotel with creative ideas involved. The location has a direct bearing on the cost of construction, because if the materials have to be sourced from distant places, transportation costs will be higher. The cost of interior design too is thus dependent on the layout and the concept involved. Yet another factor to be considered is the FSI (Floor space index) regulation as applicable to the location.

Download detailed Hotel Construction Costs Manual

1 2 3 4 5
please rate this article     Poor
Most viewed articles in Hotel Construction and Development category

Hotel Development Checklist
Step By Step Guide To Build a Hotel
Hotel Pre Opening
Hotel Project and Construction Costs
Hotel Design
Most recent articles in Hotel Construction and Development category

Hotel Pre Opening Tools
Hotel Construction
Step By Step Guide To Build a Hotel
Room Upgrade Project Management
Room Upgrade
Project Management
Hotel Pre Opening
Hotel Project and Construction Costs
Hotel Design
Hotel Development Checklist

 Visitor's Comments !

there are no comments...

    Random Pick
Breakfast Standards : Was the guest greeted or acknowledged within 30 seconds upon entering the restaurant?

Total Articles
Total Authors
Total Views
Total categories

Delete cookies set by this site | Top   

Online Hotel School
Copyright 200-2011 © Online Hotel School