hotel investment
Hotel Assets: The Dark Horse in Real Estate Investing
Dancong 'Dannie' Li | October 21, 2024
By Dancong 'Dannie' Li , Jingjianxiong 'Charlie' Shi , Monique Rosszell Introduction Once considered the 'underdog' in the world of real estate investing, the hotel sector has experienced a remarkable resurgence over the past decade, with a particularly significant upturn since 2021, driven by the surge of pent-up demand resulting from the pandemic. Hotels were often perceived as risky investments due to their seasonality and reliance on short-term leases (i.e., daily rentals). In comparison, the multifamily and office sectors have often been considered safer real estate investments due to the stability of rental income, their resilien...
European Hotel Transaction Volumes Increased by 123% in the First Half of 2024
Maxime Gauthier | October 10, 2024
Coming out of a high-inflation, high-interest-rate environment, which negatively impacted hotel transactions in Europe in 2023, transaction activity increased to the highest levels since 2019 in the first half of 2024. Reaching €10.6 billion, the total volume transacted increased by 123% year-on-year, already reaching the total volume for the whole of 2023. There were 20% more transactions this semester, with a decrease of 11% in the number of rooms per hotel, translating into a 30% increase in price per room over H1 2023. General Commentary Transaction volumes were quite evenly spread over the semester, with January...
Downtown San Antonio, TX: Building for the Future
David Bone | September 19, 2024
Downtown San Antonio boasts a diverse array of buildings built during multiple decades, as can be expected in a city that is more than 300 years old. These structures contribute to the city’s historical charm, and contemporary buildings were not prevalent in the past. However, spurred by the “Decade of Downtown” within the city’s SA2020 growth plan created in 2010, revitalization and new-build projects became more common in the years prior to the COVID-19 pandemic. The modernization was anchored by the 2019 opening of Frost Tower, the city’s first new high-rise since 1989. Since 2020, roughly 20 development projects, reportedly to...
The Future of Investments and Financing – Hospitality Sector Trends
Hala Matar Choufany, ISHC | September 12, 2024
The hospitality industry is undergoing a significant transformation, driven by technological advancements, shifting consumer preferences, and evolving global economic trends. These changes are reshaping how investments and financing in the sector are approached. Over the next two decades, the industry is expected to witness substantial evolution in investment strategies and priorities. Currently, there are approximately 300,000 rooms under development across the GCC. However, in the current economic environment, challenges such as rising borrowing costs, development expenses, and operational expenditures are increasingly impacting hotel va...
An Overview of San Francisco’s Prolonged Recovery
Jason Lee | September 5, 2024
Since the COVID-19 pandemic, San Francisco has been navigating a difficult and lengthy road to recovery. Concerns over safety and street conditions, record-high office vacancies, a weak convention calendar, and limited visitation from Asia are among the challenges for local hoteliers. However, the long-term outlook remains cautiously optimistic given the growing presence of artificial intelligence companies, the fuller rebound of convention activity, and major sporting events planned for 2026, including Super Bowl LX and the FIFA World Cup. Lodging, Convention, and Travel Trends Following a rebound in 2022, San Francisco’s hotel perform...
Investment Strategies in the Hospitality Industry: Essential Insights
EHL Group | September 4, 2024
If you’re an entrepreneur, seasoned investor, or work in hospitality and have some money to spare, you might wonder whether investing in the hospitality industry could be a lucrative strategy. It’s an in-demand industry, with the global market forecast to grow from around 5.5 trillion US dollars in 2024 to over 11.6 trillion US dollars in 2029. Domestic and foreign travel are also returning to pre-pandemic levels, with the number of people looking to book trips to global destinations showing no sign of slowing. These predictions suggest there are good returns to be made by those who invest wisely. With that in mind, let’s explo...
Australia’s Hotel Capital Markets See Bifurcation Across 1H 2024
JLL | August 28, 2024
In the current hotel investment environment, we’re witnessing just how crucial strong underlying real estate fundamentals are when it comes to desirability amongst investors and resultant pricing. Like what’s being experienced across the broader CRE sector, certain assets are standing out amongst the pack. As we discussed in our previous article, year-to-date Australian transaction volumes remain subdued as the cost of debt drives a bifurcation of hotel capital markets, with the mid-markets (≤A$40 million) segment of the market having been the most active for the year to date and seeing the greatest depth in capital. Hotel fundame...
Save the Date: Hunter Hotel Investment Conferences Unveils 2025 Dates and Messaging
The Hunter Hotel Investment Conference | August 6, 2024
ATLANTA (August 6, 2024) – The Hunter Hotel Investment Conference (“HUNTER”), founded by Hunter Hotel Advisors and Georgia State University, today announced the dates and messaging for its highly anticipated 36th conference. The event is scheduled to take place from March 18-20, 2025, at the Atlanta Marriott Marquis. Registration for the conference will open on Monday, August 19, 2024. Under the messaging “Elevate Your Game,” this year’s conference aims to inspire attendees to elevate their networks, industry knowledge and deal-making strategies. This call-to-action will be integrated throughout the event’s content and pro...