EMEA Hotels Investment Snapshot 2014

By Joe Stather

Hotels amongst strongest ​growing asset classes Europe​


 

 Highlights

  • Investment volume in hotels grew in 2014 y-o-y by 30%; amongst the strongest growing commercial asset classes Y-o-Y

  • Strong trading growth in the UK has continued to attract high levels of hotel investment. This has been underpinned by portfolio deals, a trend likely to continue in 2015

  • German transaction levels have continued to surge despite a slowdown in trading performance

  • Trading growth has been somewhat dampened by economic and political headwinds and the investor appetite for hotels in France has been impacted as a result, particularly outside of Paris. The decrease in y-o-y transaction volumes can also be attributed to a particularly strong 2013

 
  
 
 
 

Note:

1) Hotel yields based on high-end properties. 

2) Operational lease term - Respective local lease terms apply. German leases based on double net term.

3) Management contract terms - Encumbered with a Hotel Management agreement, operated and managed by an internationally renowned brand.  Non- guaranteed, variable income stream.

4) Vacant Possession - Unencumbered asset. Operated independently or under a franchise agreement. Non-guaranteed, variable income stream.