Hotel Transactions See 18% Decline in 2022 as Interest Rates Surge

HVS | May 1, 2023

1 May 2023, London: Hotel transactions across Europe failed to show the recovery expected during 2022 as confidence was hit by the Russian invasion of Ukraine which fuelled huge increases in energy and food costs, a rise in overall inflation and higher interest rates. According to the annual HVS European Hotel Transaction Report transactions for the year totalled €13.3bn, an 18% fall on the previous year, although the average achieved price per room rose 13% to €235,000 on the back of price rises in portfolio transactions. “The year started strongly with initial activity outpacing Q1 2021, but the economic implications of Russiaâ...