Reliable information on growth and economic impacts is essential to the planning process. The purpose of an impact analysis is to determine the incremental impact that a new, proposed hotel will have on existing, similarly branded hotels within a specific radius.
In an impact analysis, factors reviewed in the market area include but are not limited to:
- Review of the competitive lodging supply including occupancy and ADR performance
- Review of the lodging demand generators
- Proximity of the proposed hotel to the existing objector
- Review of the objecting hotel’s historic performance as well as its projected occupancy and ADR to the proposed hotel’s projected performance
- Comparison of the objecting hotel’s facilities/amenities to those at the proposed hotel, including the condition of the existing hotel