Five Reasons Why Developers and Owners Love Hotel Leases

Peter Szabo | November 30, 2017

European Leased Hotel Cap Rates Reach Historic Low As Investor Pool Expands, Says HVS HWE Report By Peter Szabo, Analyst at HVS London Capitalisation rates for fixed income prime hotel investments such as lease contracts have reached sub 5%, according to a report from property experts HVS Hodges Ward Elliott. The number of investors buying into leased hotels has also trebled since 2009 as the asset class has become an increasingly attractive investment target for institutional investors. While the likes of Marriott, Hilton, IHG and Accor have moved away from lease contracts in the past, operators such as Deutsche Hospitality (formerly S...