Source: TOPHOTELPROJECTS

The year 2017 was a good one for four and five star hotels throughout Europe. In fact, according to experts and industry analysts, hotels that fit that description experienced a 3.9 percent value boost.

This is, of course, great news for some of the nicest hotels in some of the world's most luxurious cities, including Paris, London, Geneva, Rome and Zurich, which all recorded high hotel values per room in the year 2017. Lest excitement become too much, however, it should also be noted that prices dropped year-on-year in all of those cities with the exception of Paris.

Reasons for the Value Increase Throughout Europe

Some industry experts have attributed this value increase to a corresponding uptick in business and consumer confidence, as well as overall GDP growth throughout the countries in Europe.

In simpler terms, demand for hotels throughout the vast majority of European markets has remained higher than it has been in recent memory without any one market undergoing a corresponding increase in supply. In fact, experts say there are low levels of supply in many cities with high demand, leading to this strong performance across the board.

Success Elsewhere in Europe

In addition to the cities mentioned above, growth is also occurring elsewhere in Europe. Take, for example, Europe, which is regarded by many as the safest destination on the continent.

Lisbon actually topped the cities mentioned above in value growth for 2017 due to a heavy and rising demand for more guestrooms. To put it all in perspective, it's also important to note that Portugal's capital city recorded a 14.7 percent increase from the year previous. The year 2017 also turned out to be Lisbon's fourth consecutive year of double digit growth overall, powered as it was by international investor, developer and lender interest.

Second in value growth was St. Petersburg, while Moscow also had a strong showing with a fifth place ranking for Europe last year. Both of the Russian cities record strong gains as that country's currency strengthened against the euro, enabling the hotel value in those cities to increase to 14.4 percent and 11.5 percent respectively in euros.

Finally, Madrid's hotels were just behind St. Petersburg's, ranking third for value growth, rising a total of 14.1 percent. Europe's strong economic climate and the increasing numbers of inbound tourists meant that occupancy and average rate were also largely on the rise last year. This create a response in Madrid, with active investor interest and transaction volumes both growing.

Let's take a look at a few other projects currently underway in Europe:

Moxy Hotel London Heathrow

The site on the Bath Road close to Heathrow Airport has consent for a hotel …[READ MORE]

Marriott Palanga spa Hotel and Apartments

There are planned SPA rooms, SPA apartments and 185 underground parking spaces. …[READ MORE]

Mandarin Oriental München

Opposite the existing hotel a multifunctional building complex will be erected. …[READ MORE]

More information on hotel projects in Europe can be found in the
TOPHOTELPROJECTS database.
TOPHOTELPROJECTS is the specialized service provider of cutting-edge information of the hospitality industry.

Jule Grass
Marketing Manager
+49 4261 4140 309
TOPHOTELPROJECTS