Prior to the events of September 11th, the market was performing at levels on par with 2000; however, since September 11th the market occupancy declined somewhat.
Factors both internal and external to a hotel property affect its value, and in turn, its property tax burden. In most cases, an experienced hotel appraiser, employing a proven appeal protocol, is needed to determine whether a property is unfairly assessed.
In hotel land valuation, an alternate to the sales comparison approach is the ground lease approach, where a ground rent for the land is hypothesized and capitalized into a land value estimate.