Five of the biggest hotel owners say their hotel asset value dropped by 25-50% in 2009

Five of the biggest hotel owners in Romania, Josef Goschy, George Copos, Radu Enache, Mohammad Murad and Ionut Negoita, say their hotel assets lost between 25% and 50% in terms of value in 2009 from 2008, as a result of the economic downturn. No major deals have been sealed in the hotel industry in the past year, though a rising number of owners have put up their assets for sale to raise cash. Hotel assets valuation levels starting from the value of a room have changed, though, and entrepreneurs wanting to sell say they have not received the "right price" so far. According to ZF estimates, while a four-star hotel room was valued at 180,000-200,000 euros, at present the level is of around 130,000 euros. "I could not specify the value of the hotel assets I own, as I have never done such an assessment (. ..)," Mohammad Murad says. Another hotel owner, Josef Goschy, says the value of his hotel assets now accounts for just 60% of the level of two years ago.