Top 15 of the most attractive European cities for hotel investment

The report findings are based on research conducted by the company based on a survey of 56 managers in March and April 2022, including Principal representatives of the largest private equity firms, funds, REITs and other institutional investors Hotel property in the real estate investment market.

In this ranking, The Spanish capital is second tied with London and Amsterdam with 4 out of 5 points., Barcelona are in fifth place with a score of 3.9, followed by Berlin and Milan, both with a score of 3.8. Regarding growth, in the first half of 2022, Investor interest in the Madrid market has increased by 5% compared to 2021, while it has fallen by 2% for Barcelona.

There are no other Spanish cities in the said top 15, although Bilbao, Malaga, Marbella, Mallorca and Seville are also mentioned due to their interest among the participants.

In terms of markets per country, The top 5 most attractive places to invest are led by the UK and Ireland, followed by France and Germany., The Iberian Peninsula is ahead of Italy in fourth place. Below, the Benelux and Nordic countries, while Central and South East European markets including Bulgaria, Croatia and Greece round out the ranking.

As can be seen in the graph above, a 35% of investors are very interested in investing in hotel property in Spain and 28% are somewhat interested, although appetite has dropped by 5% since 2021This is a downward trend that was also seen in the UK, French and German markets, although to a lesser extent.

companies of Respondents to this report have collectively invested more than €20 billion over the past five years (2017-2021), accounting for around one-fifth of total hotel transaction volume in Europe. 69% of investors surveyed are based in Europe and 25% in the United States.

The report also includes information on changes in investors as a result of the pandemic, the type of hotel property that will retain or increase their interest in 2022, or the challenges facing investors in the current environment.

RELATED INFORMATION:

-Hospitality accelerates in the first half and approaches 2019 figures

– Change of cycle in the hotel market due to the exhaustion of cheap money

-Hotel investments: will operations resume at the end of 2022?