This paper aims to investigate the spatial pattern of hotel distribution in Chinese cities and shed light on the factors shaping this pattern. Several spatial data analysis methods are applied to examine the number of star-rated hotels in 342 Chinese cities from 2001 to 2010 as well as the number of budget hotels in 2008. Three significant hot-spot areas for star-rated hotels have been identified in 2010, namely, the Yangtze River Delta cluster, the Pearl River Delta cluster, and the Beijing-Tianjin cluster. Furthermore, based on the results from bivariate local Moran statistics, the star-rated hotel hot-spots are found to be spatially associated with local economic condition, foreign investment dependence, and the level of tourism development.