Miami hotel and motel cap rates
Miami-Dade County · Updated September 2026
Current range
7.50% – 9.00%
Hotels trade on operating income that changes nightly, so the range is wider than other types.
Typical expenses
70%
of collected income, paid by the owner
What moves a hotel and motel property within the range
- Revenue per available room and its trend.
- Brand and franchise terms.
- Required renovation (PIP).
- Location and age. Core neighborhoods trade about 0.25% tighter, outer markets about 0.50% wider, and buildings from before 1980 about 0.25% wider.
What a quarter point is worth
Take a hotel and motel property with $500,000 of net operating income. At today’s range, every 0.25% change in cap rate moves its value by about $178,253.
| Cap rate | Value at $500,000 NOI |
|---|---|
| 7.25% | $6,896,552 |
| 7.50% | $6,666,667 |
| 8.25% | $6,060,606 |
| 9.00% | $5,555,556 |
| 9.25% | $5,405,405 |
Questions
What is a good cap rate for hotel and motel in Miami?
Stabilized hotel and motel properties in Miami-Dade are trading at 7.50% to 9.00%. A lower cap rate means a higher price for the same income. Whether a given cap rate is good depends on whether you are buying or selling.
How do I calculate the value of a hotel and motel property?
Divide the net operating income by the cap rate. A property netting $500,000 a year at a 8.25% cap rate is worth about $6,060,606.
What expenses come out of net operating income?
Property taxes, insurance, repairs, management, utilities the owner pays and reserves. Not the mortgage. For hotel and motel, owner-paid expenses typically run about 70% of collected income.
Other property types: Multifamily (10+ units) · Small multifamily (2–9 units) · Retail / strip center · Single-tenant net lease · Office · Medical office · Industrial / warehouse · Mixed use · Self storage · Auto service / gas. Land values by neighborhood: see the table.
What is your hotel and motel property worth?
Enter your address and we pull the county record. Add your rent and expenses and you will see your cap rate and value range against today's hotel and motel market. It is free.
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