Hotels and the receipts-and-expenditure method
Larger hotels are usually valued using the receipts and expenditure (R&E) method: an assessment of the trading potential of the property, working from likely income and reasonable operating costs to a rental value, rather than valuing the bricks and mortar directly.
Because R&E valuations are sensitive to assumptions about occupancy, room rates and costs at a point roughly two years before the list starts (April 2024 for the 2026 list), the evidence that supports or challenges a hotel valuation tends to be more detailed than for a straightforward rental comparison.
See also:
what evidence a challenge needs and business rates for hotels.We're a bar owner's information site, not a surveyor. If you send this form, we may pass your details to a RICS-regulated rating firm we work with, who will contact you. They would pay us if you instruct them. You can check your valuation yourself free on the Valuation Office's service. No one can guarantee a reduction.