The valuation of hotels introduces the valuer to a host of valuation problems, the solution of many being determined by experience. Therefore, hotel valuation is one of the most difficult of all valuations. The following problems are encountered:

- the regulation of land use by way of licence varies with the intensity, contentious nature and importance of that use. Licenses are used as a controlling measure for the public good, the most important reasons being health, safety and a need to curb trade. The control is shared between the state/territory and local governments. For example, the objectives of the Liquor Control Art 1987(Vic) provides typical rationale for the control of hotels and bottleshops:

The Act (Liquor Control Art (Vic)} 1987) specifically provides that if an application meets documentary requirements, is unopposed and is recommended a being in the community interest. it must be recommended as being granted. If there are objections, preliminary conference application.