Hotel and Resort Room Properties as Emerging Investment Vehicles: An Integrative Review of Performance Drivers

Hotel and Resort Room Properties (HRRP) have emerged as a novel investment instrument within Malaysia’s expanding tourism sector. Despite their growing presence, the return on investment (ROI) for HRRP remains ambiguous due to the limited number of empirical studies assessing their performance. This paper presents a comprehensive literature to identify key factors influencing investment outcomes and to outline potential directions for future research. The review synthesizes findings from peer-reviewed studies across multiple international contexts, using a structured literature review approach to classify both tangible and intangible determinants of hotel performance including occupancy rate, location, architectural appeal, and customer satisfaction. Additionally, the paper explores critical variables affecting ROI with the objective of enhancing capital appreciation and rental yields for investors. The findings reveal that factors such as location, seasonality, building characteristics, and operational management play a pivotal role in shaping the investment performance of HRRP. This review contributes to the academic discourse by bridging tourism, real estate, and investment literature, and offers a conceptual foundation for future empirical validation in the Malaysian context.

Hotel and Resort Room Properties, Return on Investment, Investment Performance, Capital Appreciation, Rental Yield

1. Adam, I. (2013). Urban hotel development patterns in the Kumasi Metropolis, Ghana. Tourism Planning & Development, 10(1), 85–98. [Google Scholar] [Crossref]

2. Anderson, E. W., Fornell, C., & Lehmann, D. R. (1994). Customer satisfaction, market share, and profitability: findings from Sweden. Journal of Marketing, 58(3), 53–66. [Google Scholar] [Crossref]

3. Anderson, E. W., Fornell, C., & Mazvancheryl (2004). Customer satisfaction and shareholder value. Journal of Marketing, 68(4), 172–185. [Google Scholar] [Crossref]

4. Banker, R. D., Potter, G., & Srinivasan, D. (2005). Association of nonfinancial performance measures with the financial performance of a lodging chain. Cornell Hotel and Restaurant Administration Quarterly, 46(4), 394–412. [Google Scholar] [Crossref]

5. Baum, J. A. C., & Mezias, S. J. (1992). Localized competition and organizational failure in the Manhattan hotel industry. Administrative Science Quarterly, 37(4), 1898–1990. [Google Scholar] [Crossref]

6. Bailey, R., & Ball, S. (2006). An exploration of the meanings of hotel brand equity. The Service Industries Journal, 26(1), 15–38. [Google Scholar] [Crossref]

7. Baldauf, A., Cravens, K. S., & Binder, G. (2013). Performance consequences of brand equity management: evidence from organization in the value chain. Journal of Product. [Google Scholar] [Crossref]

8. Barros, C. P. (2005). Evaluating the efficiency of a small hotel chain with a Malmquist productivity index. International Journal of Tourism Research, 7(3), 173–184. [Google Scholar] [Crossref]

9. Barsky, J. D. (1992). Customer satisfaction in the hotel industry: meaning and measurement. Journal of Hospitality & Tourism, 16(1), 51–73. [Google Scholar] [Crossref]

10. Berezan, O., Raab, C., Yoo, M., & Love, C. (2013). Sustainable hotel practice and nationality: the impact on guest satisfaction and guest intention to return. International Journal of Hospitality Management, 42, 227–233. [Google Scholar] [Crossref]

11. Bernhardt, K. L., Donthu, N., & Kennett, P. A. (2000). A longitudinal analysis of satisfaction and profitability. Journal of Business, 47(2), 161–171. [Google Scholar] [Crossref]

12. Buso, T., Dell’Anna, F., Becchio, C., Bottero, M. C., & Corgnati, S. P. (2017). Of comfort and cost: examining indoor comfort conditions and guests’ valuations in Italian hotel rooms. Energy Research & Social Science, 32, 94–111. [Google Scholar] [Crossref]

13. Canina, L., Enz, C. A., & Harrison, J. S. (2005). Agglomeration effects and strategic orientations: evidence from the U.S. lodging industry. Academy of Management Journal, 48(4), 565–581. https://doi.org/10.5465/AMJ.2005.17843938 [Google Scholar] [Crossref]

14. Carneiro, M. J., & Costa, C. (2000). The influence of service quality on the positioning of five-star hotels: the case of the Lisbon area. Journal of Quality Assurance in Hospitality & Tourism, 1(4), 1–19. [Google Scholar] [Crossref]

15. Chaves, M. S., Gomes, R., & Pedron, C. (2012). Analysing reviews in the Web 2.0: small and medium hotels in Portugal. Tourism Management, 33(5), 1286–1287. [Google Scholar] [Crossref]

16. Chen, C.-F., & Rothschild, R. (2010). An application of hedonic pricing analysis to the case of hotel rooms in Taipei. Tourism Economics, 16(3), 685–694. [Google Scholar] [Crossref]

17. Chi, C. G., & Gursoy, D. (2009). Employee satisfaction, customer satisfaction, and financial performance: an empirical examination. International Journal of Hospitality Management, 28(2), 245–253. [Google Scholar] [Crossref]

18. China Tourism Academy. (2014). Chinese Boutique Hotel Forum 2014. Beijing. [Google Scholar] [Crossref]

19. Choi, H., Rezaee, R., Wei, X., & Wang, et al. (2022). Smart tourism, hospitality, and destination: emerging digital infrastructure and experience paradigms. [Google Scholar] [Crossref]

20. Commons, J., & Page, S. (2001). Managing seasonality in peripheral tourism regions: the case of Northland, New Zealand. Seasonality in Tourism. Routledge, 161–180. [Google Scholar] [Crossref]

21. Dąbrowski, D., Brzozowska-Woś, M., Gołąb-Andrzejak, E., & Firgolska, A. (2019). Market orientation and hotel performance: the mediating effect of creative marketing programs. Journal of Hospitality and Tourism Management, 41, 175–183. [Google Scholar] [Crossref]

22. Department of Statistics Malaysia. (2024). Domestic tourism survey 2023. [Google Scholar] [Crossref]

23. https://www.dosm.gov.my/site/downloadrelease [Google Scholar] [Crossref]

24. Dziauddin, M. F., Alvanides, S., & Powe, N. (2013). Estimating the effects of light rail transit system on property values in Klang Valley, Malaysia: a hedonic house price approach. Jurnal Teknologi, 61(1), 35–47. [Google Scholar] [Crossref]

25. Emoh, F. I., Oni, A. O., & Egolum, C. C. (2013). Prioritising residential land value determinants in Onitsha, Nigeria. International Journal of Academic Research in Business and Social Sciences, 3(3), 201–213. [Google Scholar] [Crossref]

26. Fetscherin, M., & Usunier, J. (2012). Corporate branding: an interdisciplinary literature review. European Journal of Marketing, 46(5), 733–753. [Google Scholar] [Crossref]

27. Fornell, C., Mithas, S., Morgeson, F. V., & Krishnan, M. S. (2006). Customer satisfaction and stock prices: high returns, low risk. Journal of Marketing, 70(1), 3–14. [Google Scholar] [Crossref]

28. Gabrijela et al. (2019). A multiple-criteria decision-making model for the selection of a hotel location. [Google Scholar] [Crossref]

29. Garay, L., & Font, X. (2013). Corporate social responsibility in tourism SMEs: evidence from Europe and Latin America. Tourism Management, 7, 38–46. [Google Scholar] [Crossref]

30. Gémar, G., Moniche, L., & Morales, A. J. (2016). Survival analysis of the Spanish hotel industry. Tourism Management, 54, 428–438. [Google Scholar] [Crossref]

31. Gabrielem, S. (2014). Evaluating performance in the hotel industry: an empirical analysis of Piedmont. Journal of Investment and Management, 4(1), 17–22. [Google Scholar] [Crossref]

32. Ghaderi, Z., Mirzapour, M., Henderson, J. C., & Richardson, S. (2019). Corporate social responsibility and hotel performance: a view from Tehran, Iran. Tourism Management, 29, 41–47. [Google Scholar] [Crossref]

33. Grissemann, U., Plank, A., & Brunner-Sperdin, A. (2013). Enhancing business performance of hotels: the role of innovation and customer orientation. International Journal of Hospitality Management, 33, 347–356. [Google Scholar] [Crossref]

34. Hasyyati, A. N., & Kurniawan, A. (2022). Measuring intangible assets using parametric and machine learning approaches. Cornell University. [Google Scholar] [Crossref]

35. Huang, Y., Luo, S., Ding, P., & Scott, N. (2014). Impressions of Liusanjie: motivation, theatrical performance evaluation, and satisfaction. Current Issues in Tourism, 17(3), 280–296. [Google Scholar] [Crossref]

36. Huang, Z. G. (2006). Tracing back the relationship of Longjing Tea culture and Hangzhou (West Lake). Journal of Zhejiang University. [Google Scholar] [Crossref]

37. HVS. (2024). Market snapshot: Asia Pacific 2024 hospitality market report. [Google Scholar] [Crossref]

38. https://www.hvs.com/article/10026 [Google Scholar] [Crossref]

39. Jensen, O., Li, Y., & Uysal, M. (2017). Visitors’ satisfaction at managed tourist attractions in Northern Norway: do on-site factors matter? Tourism Management, 63, 277–286. [Google Scholar] [Crossref]

40. Kaplan, R. S., & Norton, D. P. (1992). The balanced scorecard: measures that drive performance. Harvard Business Review, 71–79. [Google Scholar] [Crossref]

41. Kim, H. B., Kim, W. G., & An, J. A. (2013). The effect of consumer-based brand equity on firms’ financial performance. Journal of Consumer Marketing, 20(4), 335–351. [Google Scholar] [Crossref]

42. Kim, H. B., & Kim, W. G. (2010). The relationship between brand equity and firms. [Google Scholar] [Crossref]

43. Kim, S. S., Lee, C. K., & Klenosky, D. B. (2003). The influence of push and pull factors at Korean national parks. Tourism Management, 24, 169–178. [Google Scholar] [Crossref]

44. Lockyer, T. (2005). Understanding the dynamics of the hotel accommodation purchase decision. International Journal of Contemporary Hospitality Management, 17(6), 481–492. [Google Scholar] [Crossref]

45. Lee, S. K., & Jang, S. (2010). Room rates of U.S. airport hotels: examining the dual effects of proximities. Journal of Travel Research, 50(2), 186–197. https://doi.org/10.1177/0047287510362778 [Google Scholar] [Crossref]

46. Li, M., Fang, L., Huang, X., & Goh, C. (2015). A spatial–temporal analysis of hotels in urban tourism destination. International Journal of Hospitality Management, 45, 34–43. [Google Scholar] [Crossref]

47. https://doi.org/10.1016/j.ijhm.2014.11.005 [Google Scholar] [Crossref]

48. Liew, C., & Haron, N. A. Factors influencing the rise of house price in Klang Valley. International Journal of Research in Engineering and Technology, 2(10), 261–272. [Google Scholar] [Crossref]

49. Lim, W. M., & Law, R. (2022). The impact of green building certification on hotel property values. Journal of Sustainable Tourism, 30(12), 2591–2609. [Google Scholar] [Crossref]

50. Liu, J., & Li, Z. M. (2014). The cultural gene of classic Chinese garden. Journal of Southwest China Normal University, 39(10), 76–80. [Google Scholar] [Crossref]

51. Newell, G., & Seabrook, R. (2006). Factors influencing hotel investment decision making. Journal of Property Investment & Finance, 24(4), 279–294. [Google Scholar] [Crossref]

52. Monty, B., & Skidmore, M. (2003). Hedonic pricing and willingness to pay for bed and breakfast amenities in Southeast Wisconsin. Journal of Travel Research, 42(2), 195–199. [Google Scholar] [Crossref]

53. O’Neill, J. W., & Carlbäck, M. (2011). Do brands matter? A comparison of branded and independent hotels’ performance. International Journal of Hospitality Management, 30(3), 515–521. [Google Scholar] [Crossref]

54. Ong, T. S. (2013). Factors affecting the price of housing in Malaysia. Journal of Emerging Issues in Economics, Finance and Banking, 1(5), 414–429. [Google Scholar] [Crossref]

55. Oloke, O. C., Simon, F. R., & Adesulu, A. F. (2013). Examination of the factors affecting residential property values in Lagos State. International Journal of Economy, Management and Social Sciences, 2(8), 639–643. [Google Scholar] [Crossref]

56. Ottenbacher, M., & Gnoth, J. (2005). How to develop successful hospitality innovation. Cornell Hotel and Restaurant Administration Quarterly, 46(2), 205–222. [Google Scholar] [Crossref]

57. Pappu, R., Quester, P. G., & Cooksey, R. W. (2005). Consumer-based brand equity: improving measurement. Journal of Product & Brand Management, 14(3), 143–154. [Google Scholar] [Crossref]

58. Powanga, A., & Powanga, L. (2008). An economic analysis of timeshare ownership. Journal of Retail & Leisure Property, 7(1), 69–83. [Google Scholar] [Crossref]

59. Prabakaran, N., & Panchanatham, N. (2013). Niche tourism products of India. Abasyn University Journal of Social Sciences, 6(1), 53–64. [Google Scholar] [Crossref]

60. Theodoulidis, B., Diaz, D., Crotto, F., & Rancati, E. (2017). Exploring CSR and financial performance through stakeholder theory in tourism industries. Tourism Management, 62, 173–188. [Google Scholar] [Crossref]

61. Tsai, H., Cheung, C., & Lo, A. (2010). Customer-based casino brand equity and firm performance. International Journal of Hospitality Management, 29, 754–757. [Google Scholar] [Crossref]

62. Radojevic, T., Stanisic, N., & Stanic, N. (2017). Factors influencing customer satisfaction in the hotel industry. Cornell Hospitality Quarterly, 58(2), 134–164. [Google Scholar] [Crossref]

63. Reichheld, F., & Sasser, W. (1990). Zero defections: quality comes to service. Harvard Business Review, 68(5), 105–111. [Google Scholar] [Crossref]

64. Ren, L., Qiu, H., Wang, P., & Lin, P. M. C. (2016). Customer experience with budget hotels. International Journal of Hospitality Management, 52, 13–23. [Google Scholar] [Crossref]

65. Revilla, G., Dodd, T., & Hoover, L. (2001). Environmental tactics used by hotel companies in Mexico. International Journal of Hospitality & Tourism Administration, 111–127. [Google Scholar] [Crossref]

66. Sainaghi, R. (2010). Hotel performance: state of the art. International Journal of Contemporary Hospitality Management, 22(7), 920–952. [Google Scholar] [Crossref]

67. Sainaghi, R. (2011). RevPAR determinants of individual hotels. International Journal of Contemporary Hospitality Management, 23(3), 297–311. [Google Scholar] [Crossref]

68. Schneider, B. (1991). Service quality and profits: human resources planning. Human Resources Planning, 14(2), 151–157. [Google Scholar] [Crossref]

69. Schamel, G. (2012). Weekend vs midweek stays: modelling hotel room rates. International Journal of Hospitality Management, 31(4), 1113–1118. [Google Scholar] [Crossref]

70. Sharareh Khosravi, Malek, A., & Ekiz, E. (2014). Why tourists are attracted to boutique hotels. Journal of Hospitality & Tourism. [Google Scholar] [Crossref]

71. Silva, R., Gerwe, O., & Becerra, M. (2017). Corporate brand and hotel performance. Journal of Business Research, 79, 23–30. [Google Scholar] [Crossref]

72. Sim, J., Mak, B., & Jones, D. (2006). Customer satisfaction and retention for hotels. Journal of Quality Assurance in Hospitality & Tourism, 7(3), 1–23. [Google Scholar] [Crossref]

73. Soler, I. P., Gemar, G., Correia, M. B., & Serra, F. (2019). Algarve hotel price determinants. Tourism Management, 70, 311–321. [Google Scholar] [Crossref]

74. Srinivasan, S., Vanhuele, M., & Pauwels, K. (2008). Do mindset metrics explain brand sales? Marketing Science Institute. [Google Scholar] [Crossref]

75. Tajeddini, K. (2010). Customer orientation and entrepreneurial orientation on innovativeness. Tourism Management, 31(2), 221–231. [Google Scholar] [Crossref]

76. Tourism Malaysia. (2025). Malaysia tourism statistics in brief 2024. https://data.tourism.gov.my [Google Scholar] [Crossref]

77. Tornow, W. W., & Wiley, J. W. (1991). Service quality and management practices. Human Resources Planning, 14(2), 105–115. [Google Scholar] [Crossref]

78. Vuuren, C. V., & Slabbert, E. (2011). Travel motivations and behaviour of tourists to a South African resort. International Conference on Tourism & Management Studies, 295–304. [Google Scholar] [Crossref]

79. Vrontis, D., Thrassou, A., & Lamprianou, L. (2009). International marketing adaptation vs standardisation. International Marketing Review, 26, 477–500. [Google Scholar] [Crossref]

80. Wang, W., Su, C., Chan, J. H., & Qi, X. (2020). Operational risks and coping strategies in P2P accommodation. Industrial Management & Data Systems, 120(9), 1759–1775. [Google Scholar] [Crossref]

81. Wong, I. A., Lee, S., & Kim, S. (2023). Smart tourism infrastructure and urban hotel performance. Tourism Management, 97. [Google Scholar] [Crossref]

82. World Travel and Tourism Council. (2019). Travel & tourism economic impact. [Google Scholar] [Crossref]

83. Yang, J., & Lee, H. (1997). An AHP decision model for facility location selection. 15, 241–254. [Google Scholar] [Crossref]

84. Xiang, Z., Du, Q., Ma, Y., & Fan, W. (2023). Big data analytics in hospitality. International Journal of Hospitality Management, 108. [Google Scholar] [Crossref]

85. Yang, Y., Wong, K. K. F., & Wang, T. (2012). Hotel location choice in Beijing. International Journal of Hospitality Management, 31(3), 675–685. [Google Scholar] [Crossref]

86. Yoo, B., & Donthu, N. (2001). Measuring perceived quality of an internet shopping site. Developments in Marketing Science, 471–471. [Google Scholar] [Crossref]

• Analysis of Housing Deficit in Urban Cities: A Case Study of Port Harcourt
• Selection Factors for Security Service Companies in Strata Schemes in Malaysia
• Greed, Grievance, and Guns: A Resource-Driven Conflict in Zimbabwe's Mining Communities - A Case Study of Marange Diamond Mines
• Public Acceptance of Durian Farmland Real Estate Investment Via Crowdfunding in Malaysia
• Students’ Perceptions on Value-Added the Islamic Estate Planning Course in Real Estate Education