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What Is a Cap Rate? Hotel Owners, Here’s What You Need to Know Are you a hotel owner wondering what a cap rate is and why it matters in today’s market? 📉📈 In this episode of The Room Key, hotel advisor Chase Keller of Franchise Clearly breaks down the basics of capitalization rates—what they are, how they're calculated, and why cap rates are crucial when buying or selling income-producing properties like hotels. We’ll also explore: ✅ Current hotel cap rate trends (9–11% for mid and upper-mid scale) ✅ How interest rates and buyer expectations impact property valuation ✅ What sellers must do to improve NOI and attract serious offers ✅ The difference between price and value—Warren Buffett style Whether you’re looking to sell or simply want to understand what your hotel is worth, this video gives you the insights you need. 🏨💼 📊 Ready to find out what your hotel might trade at? Chase will run the numbers and walk you through the process. 🛎️ Subscribe for more hotel valuation tips and real estate market insights!