West Chester firefighters were alerted just after 8 p.m. and arrived to find the alarms sounding and the building evacuated.
Chester County Fire Marshal Latta White said there were no injuries, however power was out to the building so no residents would be able to return to the building. He said the building has 90 rooms of which more than 70 were occupied, most with multiple guests.
White said the fire was contained by sprinklers, and firefighters were able to extinguish the blaze which was located on a first floor hallway.
The fire alarm went off, and the desk person checked the fire alarm and found smoke on the first floor and called the fire department, White said.
Multiple guests could be seen leaving the scene with assistance from firefighters.
White said the cause of the fire was under investigation.