3-Star Hotel Valuation in Rome
Valuing a 3-star hotel in Rome calls for a specialist methodology that combines sector EBITDA multiples, local RevPAR analysis, the underlying property value and positioning modifiers. KW Hospitality applies a structured framework tested across dozens of transactions in the Italian market. For the Rome market: structurally steady tourist demand (12.8M arrivals in 2024,, +12.5% YoY), the Vatican, the 2025-2026, Jubilee, an international air hub, an extensive UNESCO historic centre.
The 3-star hotel market in Rome in 2026
The Rome hotel market in the 3-star category comprises roughly 450 recorded properties. Seasonality typically runs all year round, peaking in spring (Easter, March to May) and from September to October.
Factors specific to the Rome market
- ›The Vatican and the former Papal State (constant religious inflows)
- ›Extensive UNESCO-listed historic centre
- ›Capital city with G7/G20 venues, international congresses
- ›Main air hub (Fiumicino + Ciampino)
- ›Jubilee year 2025 (+15-25% structural tourism demand)
Typical features of a 3-star hotel
3-star hotels represent the largest segment of the Italian hotel market: a balanced business-leisure offering, a broad target base (tourism, mid-market business, tour operators) and lean operations, with EBITDA margins averaging 22-32%.
Typical facilities
- • breakfast restaurant
- • bar
- • wifi
- • 24h reception
- • some meeting rooms
Typical buyer profile
- • independent operators
- • small investors
- • local operators
- • mid-market funds
What is a 3-star hotel in Rome worth?
EBITDA multiples for 3-star hotels in Rome in 2026 range between 7× and 10×, with a premium for prime historic-centre locations (+14% modifier). For a typical property of 50 rooms with a RevPAR of € 95 and 71% occupancy, the valuation range is € 3.8M - € 5.4M.
| Metric | Benchmark value |
|---|---|
| EBITDA multiples (3-star category) | 7× – 10× |
| Typical EBITDA margin | 22% – 32% |
| Prime location Rome | +14% |
| Average RevPAR Rome (3-star) | € 95 |
| Average occupancy | 71% |
| Typical room count | 25 – 80 rooms |
ⓘ The ranges shown are indicative and based on public market parameters. A professional valuation also considers: the condition of the property, staff contracts, the exact location, brand affiliation, licences, any litigation, and accessibility.
Data sources: ISTAT (tourist arrivals and overnight-stay statistics), Banca d'Italia (international tourism), industry benchmarks (CBRE, Cushman & Wakefield, JLL Hotels & Hospitality, STR Italia). Updated: Q1 2026.
Recent deals closed by KW Hospitality in Rome
Data anonymised to protect buyer/seller confidentiality.
3★ hotel in the Termini area, 42 rooms, family-run — sold to an expanding Italian operator in 2024 (multiple of 8.2× EBITDA)
Frequently asked questions
What is a 3-star hotel in Rome worth?
The value of a 3-star hotel in Rome is estimated on the income it generates, not on floor area alone. The EBITDA method multiplies gross operating profit by a market multiple (typically 6-12× in Italy), adjusted for category, location and building.
How is a hotel valued using the EBITDA method?
You start from revenue (rooms × RevPAR × 365), estimate EBITDA by applying the operating margin, and multiply by the market multiple. The result is a value range, refined through real estate and positioning analysis.
What is RevPAR and why does it matter in a valuation?
RevPAR (revenue per available room) is ADR × occupancy. It is one of the main value drivers: a higher RevPAR in Rome means greater earning capacity and therefore a higher market value.
Which factors increase the value of a 3-star hotel in Rome?
Location and tourist flows in Rome, brand affiliation, quality of F&B and wellness, condition of the building, cost efficiency and management contracts. Optimising these elements before a sale increases the applicable multiple.
Does KW Hospitality provide a preliminary estimate of my hotel's value?
Yes. We provide a preliminary estimate of the value of your 3-star hotel in Rome, with the market range and the levers to raise it. It is the ideal starting point before considering a sale.
Request a preliminary valuation
KW Hospitality brokers 3-star hotels in Rome through a confidential methodology, the global Keller Williams buyer network and a structured process running 6-12 months.
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