Travel Reservations - OrangeSmile Tours
Best destinations around the world - Travel Guide

Find the right hotel

Hotel Business News and Analytics
Important! This article is written by editors and is protected by copyright law. The article can only be re-used with a direct link to
All news:

Investments Into Hotels are 39% Lower Comparing to Q1 2011

News First quarter of 2012 cannot be called very successful for hotels as investments into properties located in Europe, Africa and the Middle East fell down by 39% comparing to the same period of 2011. On the other hand, impressive figures of 2011 were significantly geared up by three large deals – European Accor portfolio, Marriott Champs Elysées, and Ritz Carlton Moscow worth €1billion. The beginning of this year is free of such large investments, so the volume of transactions is much more modest. If we deduct the abovementioned transactions from the Q1 2011 results, this year’s transactions are 7% higher comparing to the previous year. Deals with single assets have estimated 74% of the total volume of transactions.

Paris and London remain the most attractive destinations for investors. The total volume of investments into them estimated €645 million (14 deals in total). Experts foresee this trend to maintain in future. Quality locations in key cities have always been a good object for investment, but the volume of investments may slow down a bit due to uncertainty of the Eurozone. Some popular European cities have posted declines in revenues. The level of RevPAR fell down by 7.7% for hotels in Munich, by 10% for hotels in Zurich, 11.5% for hotels in Dusseldorf, and 9.7% for hotels in Amsterdam. The volume of investments into the UK estimated €784 million with London taking the biggest part. The pricing gap between the regional UK and London becomes bigger, so many regions of the country are simply not interesting for investors. The transaction volume into hotels in France reached €252 million, and investments into German hotel industry estimated €70 million.


Previous article / Back to news index

Stay in touch with the latest news of a worldwide hotel industry. All up-to-date analytics, news, and reports about hotel business trends on

Our travel services
 Car Rental
Car Hire Worldwide
 News in languages
 Top 20 destinations
60 hotels
57 hotels
62 hotels
Hua Hin
111 hotels
80 hotels
58 hotels
69 hotels
1178 hotels
111 hotels
100 hotels