Feasibility study is a fundamental analysis needed to carry out to decide whether a business project is feasible or not. The aspects considered in the feasibility study are the macroeconomic aspect, technical aspect, management aspect, marketing aspect, and finally financial aspect Hence, the feasibility study helps to make decision whether a business project is feasible to be realized or not with the consideration from those various aspects. Hotel Trio is a two star hotel located at the heart of Magelang city and has a plan to expand its business by establishing a new hotel in Yogyakarta. As the result, it needs a feasibility study as a tool to measure whether their hotel expansion project is feasible or not and to make a decision regarding the planning. The Payback Period, Net Present Value, and Internal Rate of Return are the investment appraisal methods used to measure the project feasibility. Based on the result of the analysis of the feasibility study, it can be concluded that the Hotel Trio project is feasible and can be continued to realize. The Payback Period is 6 years and 9 months which is less than the maximum of 10 years. The Net Present Value is positive in amount of Rp1,380,868,811. The Internal Rate of Return is 13.76% and it is higher than the cost of capital 13%