The investment in Hotels market has exceeded €3,200M in 2017

The investment in Hotels market has exceeded €3,200M in 2017

 

If we compare the weight of the hotel segment with the total investment in real estate in 2017, it can be seen that it has been one of the main players, with a market share of approximately 30%, only surpassed by the retail segment. Of the investment made in Europe in the real estate sector, in 2016 almost 20% was allocated to the hotel industry, while ten years ago it was only 7%.

In this scenario, hotel occupancy in Spain reached, up to October, an average level of 68%, two points higher than that registered in the same period of the previous year. The tourist spots with the highest occupancy are the Canary Islands, Majorca, San Sebastian, Madrid, Barcelona and Valencia, in this order.

 

94 investment operations

Although Madrid and Barcelona remain in the spotlight of the main urban investment destinations, markets such as Valencia, Seville and Bilbao are attracting plenty of interest from investors, according to BNP Paribas Real Estate report. From January to November 2017, a total of 94 investment operations were carried out, in which 109 hotels changed hands.

If we analyze the type of buyer, it is observed how the investment funds are being the main protagonists, since to date they have added 44% of the total volume transacted, very conditioned by the Blackstone operation. The strong commitment to investment funds, together with specialized socimis like Hispania for the hotel segment, is benefiting the professionalization of it.

The movement to separate ownership and management of hotels continues to be behind the operations, with an investor increasingly specialized and familiar with the sector. In addition, the fact that the returns are more attractive than those got in other real estate products is favoring the hotel investment registered.

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