Every year, EY publishes its Global Hospitality Report that looks at key trends for investors in the upcoming year. This year's report, "Global Hospitality Insights: top thoughts for 2016," highlights the industry's vibrant growth, explores top-of-mind issues, and previews what lies ahead for hospitality and leisure organizations in 2016, including:

  • Increase of capital flow from Asia: Fierce competition in crowded markets has forced Asian investors to look outside of their home markets to generate satisfactory returns. Asset acquisitions remain the primary hotel investment vehicle for Asian investors, with hotel development or redevelopment rarely a standalone strategy into overseas markets.
  • Capital markets -- trends in debt, equity and emerging financing platforms: Supported by the continued expansion of debt and equity, the climate for global hospitality investment activity is forecasted to remain favorable in 2016.
  • Creative development trends and influences: Given the high barriers to entry in urban environments, hotel developers are employing new techniques to maximize return in both established and emerging development markets, such as converting atypical sites (historic post offices and judicial buildings) into adaptable lifestyle concepts with lower conversion costs compared to ground-up development.

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This news release has been issued by EYGM Limited, a member of the global EY organization that also does not provide any services to clients.

Jill Maguire
EY Global Real Estate
Ernst & Young

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