London Hotel Surge Seen Slowing Price Growth After Games | Bloomberg
London hoteliers will probably have slower revenue growth next year as a surge of new rooms combines with a decline in rates and visitors after the Olympic Games. About 7,000 rooms will be added this year, a 6.7 percent gain, bringing London’s total to 114,000 by the end of 2012, Jones Lang LaSalle Hotels said in a report.
London hoteliers will probably have slower revenue growth next year as a surge of new rooms combines with a decline in rates and visitors after the Olympic Games.
About 7,000 rooms will be added this year, a 6.7 percent gain, bringing London’s total to 114,000 by the end of 2012, Jones Lang LaSalle Hotels said in a report. An additional 5,400 rooms, a 4.8 percent increase, are expected in 2013. That compares to average annual supply growth of 2.4 percent from 2003 to 2011, according to the company, part of Chicago-based broker Jones Lang LaSalle Inc.
London ranks among Europe’s most resilient hotel markets as many of its neighbors struggle with the effects of financial- market turmoil and the sovereign-debt crisis. While the city will continue to be a top destination, gains in revenue per available room, a measure of occupancy and rate, will probably shrink as the high demand from the Olympics is unlikely to be sustained, a Jones Lang LaSalle Hotels survey showed in May.