UK strengthens position as Europe's top hotel investment destination

09 April 2018 by
UK strengthens position as Europe's top hotel investment destination

The UK has strengthened its position as Europe's top destination for hotel investment.

It took the number one spot in the list for the second year running, ahead of Germany and Spain, according to CBRE's European Hotel Investor Intentions Survey 2018.

A total of 35% of respondents chose the UK as the most attractive target for hotel investment, which was an increase on last year, CBRE said.

Its position at the top was reinforced by a record 2017, which saw the UK hotel sector pull in €6.2b (£5.4b) worth of investment.

The figure was a 39% increase year-on-year, and the highest hotel investment volume of all European countries in 2017.

According to CBRE's latest survey, Germany was the second-most attractive market, favoured by 18% of respondents.

Spain was third, chosen as the top market by 16% of respondents.

France was fourth, chosen by 8%, and Ireland took fifth place alongside Italy with 6%.

Meanwhile, 94% of respondents said they were planning to invest either the same or more capital into hotel real estate in 2018 compared to 2017.

Paul Collins, head of hotel investment properties for UK & Ireland, said: "The UK is attracting a wide range of international investors seeking opportunities in key cities such as London, Manchester and Edinburgh.

"Investor appetite for quality regional hotels will remain resilient and despite the UK's impending withdrawal from the European Union, our survey results suggest that any restrictions to the growth of UK investment volumes are more likely to be because of restricted supply rather than a reduction in demand for hotel assets."

Signature Living reveals plans to convert derelict asylum into hotel >>

Proposals for £60m hotel in Northern Ireland spark backlash >>

Nine Hilton hotels for sale after owner's administration >>

Get The Caterer every week on your smartphone, tablet, or even in good old-fashioned hard copy (or all three!).

The Caterer Breakfast Briefing Email

Start the working day with The Caterer’s free breakfast briefing email

Sign Up and manage your preferences below

Check mark icon
Thank you

You have successfully signed up for the Caterer Breakfast Briefing Email and will hear from us soon!

Jacobs Media Group is honoured to be the recipient of the 2020 Queen's Award for Enterprise.

The highest official awards for UK businesses since being established by royal warrant in 1965. Read more.


Ad Blocker detected

We have noticed you are using an adblocker and – although we support freedom of choice – we would like to ask you to enable ads on our site. They are an important revenue source which supports free access of our website's content, especially during the COVID-19 crisis.

trade tracker pixel tracking