Is it wise to sell off a hotel?

[Ehtisham memon]

I think if hostel located in neat and clean area is prize a dubble but if you have faced some issued to finicial disturb so you have sell it in incomplete building but I have about you should make complete and running it than take a Bussiness

 

[eenya001]

It depends on various factors, where Is the location, why does he wants to sell it off? These are some of the questions
If it's because of finances, then he should sell if off, as he would need a lot of finance inorder to make the hotel to become profitable at first

 

[Kinglegend01]

There are alot of factors that can make him the hotel, you mentioned lack of funds as been the only reason you think he is selling off the hotel, the location of the hotel he is building is another important factor that might have made him conclude to sell the property, maybe he feels its wudnt be profitable as it should.

 

[Jonaville1]

In this case the choice belongs to him. You said he ran out of funds, so it is up to him to decide if he should sell It off or not. If he decides to leave it till he gets some money, wagg happens if the money doesn't come? One can't afford to leave an uncompleted building to waste away just like that.

 

[Sake]

He will surely be able to live of from the money he's going to be earning from the hotel if it's completed and i will say it's not wise to sell it off it would be a waste. But if he can't really do anything for it anymore and he's going to get a bit of profit from selling it off incomplete then i guess it's fine. But it's a waste :/

 

[Adebayonle7]

To me, it is totally wrong to sell off a hotel. I once managed a 25 rooms hotel and I tell you it's already a part of my future investment. We make a net profit of over 3M monthly after all expenses have been recorded. And this in sagamu ogun state Nigeria. We only had lodging and bar services. Still my boss bags 1.4Million pension monthly which he doesn't touch. Except for supplies, renovations, staff payments and taxes, a 25-50 rooms hotel can make enough to set the person up for life.

 

[Abbas007]

Having no interest. Causes failure in any Business. I will suggest him not to sale his Hotel. He should go for loan and Start it up again. But he Should have different ideas to attract customer towards his Hotel to make his System successful.

 

[Richard92]

Yes it wise to sell off an hotel when you are running at loss and the business as it use to be. Maybe you have tried all the marketing strategies that you know or maybe you do not have enough funds (money) to run the hotel or there are now much competitors and we'll advance hotel, you can sell off the hotel.

 

[Ebuka Stephen]

Well I don't really know what to tell you in this case but if he is really sure of raising more funds he can keep it, I think its wise not sell properties instead I acquire them , landed properties keep on adding values so my advise for him is to keep it.

 

[Kamon c4]

An Uncompleted building serves no purpose until it’s completed. It’s a good idea to sell off the building rather than leaving it there. Flipping the building will generate funds for other projects and increase income

 

[gammarays]

Few years back a relative of mine started building a hotel but along the line he ran out of funds and left the building uncompleted.... He has put it up for sale... Is it wise for him to sell off the property uncompleted or should he be patient to realize more funds then go on to complete the building?

Yes,it's not bad to sell off the hotel if the funds are not available. Building a hotel is a very costly adventure that will cost millions of naira. It's better to sell it than to leave it undeveloped. However, if you know you can get money in the future, you can exercise patience and continue when you get the money.

 

[giddy]

A typical new hotel takes a number of years to reach stable trading levels. A new development will typically take between three and five years to each stable trading after opening, and once trading has stabilised, that will usually be the best time for a developer tosell, if all other factors stay the same.

 

[Sammyesx]

If I have a hotel I wouldn't sell it, it is a very lucrative business where am from, but in the case of this relative of yours, is hands are tied,. He should seek for a loan to complete the building or he can go into partnership with someone in order to complete the building. People might not be willing to pay much for an uncompleted hotel.

 

[Goodday]

No, selling off hostel is just not too good. If afford to build a hostel around a place where visitors do visit regularly or an area which is closer to schools, there is always a high demand for hostel and in such situations you earn a lot of profit.

 

[Ridorz]

If he has a expectations of income to complete it, I will advise him to leave the hotel and complete it because hotel Business is a profitable and lucrative business but if he do not has a means to get money, he can sell it a awesome money, he should estimate a amount that been spend on it to know how much he add to it as a profit.

 

[HIFSA LAHORI]

If it is being sold for more than the amount of money spent on the hotel, then it should be sell

 

[Mawome]

I will like to ask just one question, did he borrow money to build the hotel? If the answer is yes'' then my next question is: is it time to pay back? If the answer is yes and he has no other means of raizing the money to pay back I think the best option is to sell the hotel, but if the answer to all my questions are No. And he did not borrow money at all, I will advise him to meet with his bank and request for a loan so as to complete the hotel, if he do so, I tell you he will never regret it cos hotel business is a lucretive one.

 

[shakky2]

selling off a hotel depends on the circumstances surrounding on the circumstances surrounding such hotel as it is well known that hotel is a very lucrative business but before a person could have suggested such properties depends on some personal or social issues

 

[Hammad1245]

Few years back a relative of mine started building a hotel but along the line he ran out of funds and left the building uncompleted.... He has put it up for sale... Is it wise for him to sell off the property uncompleted or should he be patient to realize more funds then go on to complete the building?

He should complete this, because hotel is a source of life time income. If the hotel earn name he will eat the earning throughout his life. He should think that if he is leaving why did he start constructing this.

 

[Shivay]

Few years back a relative of mine started building a hotel but along the line he ran out of funds and left the building uncompleted.... He has put it up for sale... Is it wise for him to sell off the property uncompleted or should he be patient to realize more funds then go on to complete the building?

if the building work was in the progress then he should have wait for it and save some money because according to me it would be definitely worth for him in future. If he need funds for some other work then he can sell it.