ichabod said:Are you sure this isn't a case of your prices for some things not jibing with their prices for other things? I mean, by the D&D rules, the inn I quoted grosses about 4,500 gp a year at an average of half occupancy on room and meals alone. Add in money from booze, probably their big money maker, and it would seem a reasonable business to me.
Well, 4,500 gp per year from an investment of 272,000 gp is a gross return of only 1.65% per annum on investment. Now subtract out running expenses. It is a crummy business.
Besides, how do you expect it to achieve a room occupancy of 50% when it is charging the equivalent of 2.5 to 62.5 pennies per night? Mediaeval inns charged 1 penny per night for beds suitable for gentlemen (in the city: penny-farthing in the country), and a farthing a night for beds suitable for servants. In a rural inn you could get a lavish meat meal, including wine, for twopence. In a D&D inn such a meal costs at least 5 sp (which is three times as much) and more probably 10 gp (sixty times as much). How many people can afford such prices? And even on the basis of these grossly inflated prices, you only manage an annual turnover of 1.65% on capital. How you plan to get 5% or even 3% net return on your capital under circumstances like that beggars imagination.
People in a community where the wages of labour are 1 sp per day cannot afford PHB prices for meals and accommodation. Still less ale, which the PHB prices at five times its mediaeval real price. (ie. mediaeval ale cost 0.4 days wages a gallon. PHB ale costs 2 day's wages a gallon.) And even if they could, you are still getting nowhere near the turnover of 25-30% that such a place would need to cover costs (including maintenance), pay its keeper a wage, and return a decent interest on its capital value.