Effect of monumental heritage sites on hotel room pricing

Abstract

This study measures the effect of historic monuments on hotel room pricing in Seville, Spain. A hedonic model including classic explanatory variables and the city’s heritage site was specified to explain hotel room rates. Variables related with heritage sites were determined to explain room rates and an iso-values map was obtained for the rates of a ‘standard hotel’ to show the impact of historic buildings on hotel rates. These results may be of interest to entrepreneurs, consumers, or the administration, among others, due to it permits them to determine which location maximizes rates.