A fire broke out at Phuket Graceland Resort and Spa Hotel on Patong beach in Phuket at around 2pm on Thursday, but has been brought under control.
Two people were injured in the blaze, according to a report by Phuket News Centre.
The report said more than 10 fire engines rushed to put out the fire which sent billows of smoke over the hotel. Hotel guests - mostly foreigners - fled for their lives.
The fire was brought under control shortly afterwards.
It was believed the fire started in the kitchen of the hotel. Police were investigating.