Hospitality: Using the ADR Builder in the Valuation Workbook

On this sheet, you can estimate the subject's ADR going forward and have, as a visual aid, some history associated with the subject that has been captured along with the STR imported on the Room Nights sheet. 

This guide will review the ADR Builder sheet in the Hospitality Valuation workbook. 



  1. Subscription Tier: 
    • Enterprise: Included with the Subscription fee
    • Professional: Available as an Add-On
      • Please contact the Client Success Manager if you want to upgrade your subscription to access the Valcre Hospitality Workbook and Word Report template. 
  2. Downloaded Hospitality Template from Valcre Online.
  3. Set up the Hospitality Valuation Workbook in the Home sheet 

Table of Contents

  1. Video
  2. How-to Guide



How-to Guide

Step 1: Focus on the growth that you are going to project.

The default entries in this section are set at 3%, but you can edit these as you see fit on a per-segment basis. 

Step 2: Ensure you are satisfied with the historical ADR information input for the set.

The ADR (set) will adjust based on the rate of growth you have input. The overall growth rate will be a blend of the numbers input above. 

Step 3: Ensure you are satisfied with the Subject ADR that has been input, as well as the Subject Index or penetration factor for the ADR

Subject Index / Forecast- This helps you see how the subject will perform in relation to the set. 

  • Will your subject achieve a proportionate share of the rate, or will it outperform the set and achieve a higher ADR? 
  • If you perceive that the subject will outperform the competitive set due to specific growth factors, better amenities, recent renovations, or an aggressive property improvement plan, then here is where you need to make adjustments.  Will you get your fair share of the rate or over-perform the set? 

Pro tip - Be sure to focus on the subject's historic ability to achieve a rate in light of the competition. The figures in historical years will show you this, allowing you to forecast more intelligently by relying on the growth indications from past periods. 



Once you have completed all necessary information and hidden unused rows in the ADR Builder, you can move on to the ADR Occupancy for the Hospitality Template. 

For additional questions about the ADR Builder sheet in the Hospitality Valuation Workbook, please get in touch with Valcre Support using the Online Chat using Valcre Online or Valcre Mobile.

Was this article helpful?
0 out of 0 found this helpful