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FREE HOTELS CALCULATOR

Hotel NOI Calculator

Estimate hotel net operating income from total revenue and a sustainable NOI margin.

Your assumptions

INDICATIVE RESULT
€2,240,000
Operating costs implied by margin€5,760,000
Monthly NOI equivalent€186,667

Calculated directly from the assumptions shown.

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FORMULA

How the Hotel NOI calculation works

Hotel NOI = total operating revenue × NOI margin.

Example calculation

€8.0m of revenue at a 28% NOI margin produces €2.24m of NOI.

INVESTMENT USE

How professionals use the result

Use this for high-level valuation. A full model should build departmental profit, undistributed costs, management fees and FF&E reserve separately.

Common mistakes

  • Using GOP margin as NOI margin
  • Leaving management fees out
  • Ignoring reserve policy
  • Using a peak year as stabilised performance
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CLEAR ANSWERS

Hotel NOI Calculator FAQs

What does the Hotel NOI calculator measure?

Estimate hotel net operating income from total revenue and a sustainable NOI margin.

What formula does the Hotel NOI calculator use?

Hotel NOI = total operating revenue × NOI margin.

Is the result suitable for a final investment decision?

Use it as a transparent screening calculation. Validate deal-specific tax, timing, financing and legal assumptions in a complete underwriting model before making a decision.

Do I need an account?

No. The calculator is free and runs in your browser. FormulaPlanet does not store your projects, inputs or results.

Is any input sent publicly?

No calculation is public by default. A shareable link is only created when you explicitly choose to copy one; that link contains the assumptions shown in its URL.

Why might my spreadsheet give a different answer?

Differences usually come from timing, compounding, sign conventions, fees or a different definition of the numerator or denominator. Match every period and definition before comparing.

What should I review alongside this result?

Use this for high-level valuation. A full model should build departmental profit, undistributed costs, management fees and FF&E reserve separately.

Which mistakes are most common?

Using GOP margin as NOI margin; Leaving management fees out; Ignoring reserve policy; Using a peak year as stabilised performance.

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