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2019 European Hotel Investment Survey 

Experience the future

Each year, attendees of the Deloitte European Hotel Investment Conference take part in our industry survey which focuses on the UK and European market. We have shared some of the survey findings here, as well as local statistics on the Irish hotel and tourism market.

Focus on Europe

Amsterdam retains its top place as the most attractive European city for hotel investment. Paris replaces London as the second most attractive city. Lisbon is quickly gaining status as a top city-break destination - ranking 4th most attractive this year.

Focus on Ireland

Key highlights

  • Tourism is the island of Ireland’s indigenous industry; responsible for in excess of 4% of GNP in the Republic of Ireland and employing around 325,000 people across the Island.
  • Dublin continues to achieve the highest occupancy rate of any European capital.
  • In Ireland: 322 projects (21,400 rooms) in the planning system, of which 66 projects (6,194 rooms) under construction.
  • Hotel transaction activity amounted to €702m in 2019, driven by a number of ‘big ticket’ hotel sales (including the Conrad and the Marker).

Outlook for 2020

  • c.1,800 new rooms to open in Dublin in 2020.
  • Many of the recent negative trade factors were specific to 2019. Vat +4.5%. Limited growth in airline capacity (737 Max etc.). Stronger calendar of events for 2020.
  • However, room stock continues to grow in 2020 to 2022.

Investment Cycle

50% of respondents believe the UK and Ireland have hit the peak in the hotel investment cycle while Greece, Portugal and Spain are perceived to be markets on the upturn.

Major industry trends

31% believe hotels will be the most attractive asset class for investment in 2020 due to their positive demand fundamentals (71%) and yield profile (46%). Other industry trends include cyber security improvements, sustainability and driving engagement through social media.

About the research

Over 110 senior hospitality figures from across the world, including owners, lenders, developers and investors answered a series of questions on the European hotel investment market to ascertain their views of key trends and how these will shape the industry in 2019 and beyond.

View previous year's editions of the Hotel Investment survey

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