The Spanish hotel industry matches the revenue and price levels seen in 2019 and faces up to the challenge of continuing to improve occupancy. For Spain as a whole, hotels recorded an increase in RevPAR (revenue per available room) to €90.14, some 84% above the figure achieved in 2021. More significantly, this is €1.50 above the close of 2019, i.e. prior to the pandemic.
Although the industry has come back to life, with an average occupancy of 67.7% overall, there is still some way to go to reach 2019’s record figure of 74.7%. Occupancy drove the ADR (average daily rate) for 2022 up to €133, some 20% higher than in 2021.
Among destinations, Barcelona concluded the year with excellent performance in terms of all indicators, RevPAR rising by 170% in comparison with 2021 and reaching €109. As has become commonplace, Marbella continues to lead the ranking in terms of RevPAR and ADR, at €292 and €204 respectively.
These are the main figures of the Barometer jointly conducted by Cushman & Wakefield and STR at the end of 2022, which confirms the good shape of the hotel industry with a practically complete reactivation in the second part of the year.
Reduced seasonality is a reality in destinations such as the Costa del Sol, as demonstrated by the high average occupancy in 2022. Although Marbella lags behind at 62%, its figures in terms of average rates and revenues are excellent. The Canary Islands and Valencia take joint second place in the rankings, with occupancies of 74%. For its part, Barcelona recorded the greatest increase in occupancy in comparison with 2021 (+76%), whilst Madrid also achieved a significant rise of 58%. Both cities are benefiting from the arrival of international tourism.
In the view of César Escribano, STR’s Country Manager for Spain and Portugal, “the industry has almost entirely come back to life and, as we saw last week at Fitur, expectations are positive for 2023. Nevertheless, the reactivation of markets such as China is necessary for full recovery”.
With respect to this recovery, Bruno Hallé, Partner and Co-head of Cushman & Wakefield Hospitality Spain, feels that “the sector is demonstrating its resilience in the face of challenges and in 2022 benefited from a thirst for travel. Although we also anticipate positive growth in occupancy and prices in 2023, operating costs in terms of energy bills and other fundamental items such as staffing and raw materials costs represent a challenge. The results for this year will depend on how these hurdles are tackled”.
