Domestic demand has bolstered recovery across the European hotel market. Hotel occupancy rates grew to 38.6% in Q3 of this year - a significant improvement on historic lows of 15.3%, recorded at the earlier stages of the pandemic. The long-term fundamentals of the market have led to the sector being targeted by opportunity funds. Furthermore, selective value-add and development projects are continuing to attract debt and equity funding.
| less than a minute read
Pricing shifts in Europe's hotel market create attractive investment opportunities
“Difficulties in obtaining debt amidst weak operational performance has acted as a significant barrier to entry for many investors,” says Richard Dawes, Director in Savills Hotels Team, EMEA. “However, the long-term fundamentals of the hotel investment market have supported ongoing interest, resulting in a number of key deals completing over the last six months.”
/Passle/56d48b663d94740a904e050a/SearchServiceImages/2024-09-10-08-20-49-450-66e00161097b7a1aca1a437b.jpg)
/Passle/56d48b663d94740a904e050a/SearchServiceImages/2024-04-16-15-34-15-100-661e9a77344c3be38357dc30.jpg)
/Passle/56d48b663d94740a904e050a/SearchServiceImages/2024-08-15-13-59-27-370-66be09bfa74c808207f747a9.jpg)