UK hotels offer best return on investment in Europe
UK hotels investments provide the best returns in Europe.
That's according to research undertaken by Scottish Development International in association with IPD.
The report found that Scottish hotels produced a total return of 9.2% year-on-year, in 2013, which was almost double the rate of 4.8% in 2012. Meanwhile the rest of the UK offered an even higher rate of return, at 11.4% year on year in 2013, as compared to 6.6% year on year in 2012.
By comparison, pan-European hotels returned 6.6% year on year in 2013.
Colm Lauder, the senior associate at IPD, said: "Scotland's commercial property markets witnessed a year of recovery in 2013 with capital values returning to growth for all of the primary investment sectors. The strong performance is testament to the strong numbers of tourists in 2013 along with the improvement in the Scottish business sector."
The head of tourism at Scottish Development International, Graeme Whitehead, said: "The spotlight is very much on Scotland during 2014, as the host country for the Commonwealth Games and the Ryder Cup, plus the Year of Homecoming celebrations. These events provide unparalleled opportunities to highlight Scotland as a tourism destination to a global audience."
Research is done by the IPD annually to review property investor return performance on leased Scottish hotels.
The samples used include 742 assets in 13 countries valuing €12.6b (£10b) at the end of last year. The IPD sample for Scotland was valued at €289m (£229m) with 25 properties.
