Feasibility Study

Question 1

What is the purpose of feasibility studies?

Answer 1

To justify new projects and expansion of existing properties owners are using hotel feasibility studies, market demand studies, valuations and appraisals.

Question 2

What is the difference between valuation and feasibility studies

Answer 2

The term valuation is from a market perspective to determine market value (MV). However viability/feasibility study is a model used to forecast the profitability or viability of a proposed development scheme.