Based on Size : Classification of Hotels
Classification of hotels is on the basis of size refers to the number of rooms (bed capacity) and should not be confused with the building height, or the area of the property, or the gross sales etc. The term number of rooms refers to the lettable rooms and does not include those rooms which are convened for other use such as for manager, house keeper, accounts etc. and rooms on the ground floor and basement which are generally used for offices, rentals, support services or other operational facilities leased for businesses and associations.
Usually the distribution of classification of hotels is,
(i) a hotel of 25 moms or less is called a small hotel
(ii) one with 26 to 99 rooms is an average hotel
(iii) from: 100 to 299 it is called as above average
(iv) a hotel of more than 300 rooms is classified as a large hotel.