The fire broke out at 6.38 am (local time) in a hotel in the Fancheng District of the city of Xiangyan and was extinguished by 9 am (local time), state-run Xinhua news agency reported.
Two Xiangyang firefighters said the fire started in an internet cafe on the floor below the hotel in a five-story building. They refused to be identified, as is common with Chinese officials.
One of the firefighters said the internet cafe was on the second floor and the hotel on the three floors above.
The cause of the fire is under investigation, police said.