Whitebridge EMEA Hotels Monitor, Issue 38
Issue 38 covers H1 performance across EMEA hotels, with Istanbul and Milan as top performers, major declines in Middle East markets, rising construction costs, and a UK ground rents update.
Whitebridge EMEA Hotels Monitor - Issue 38
Photo by Whitebridge Hospitality
Introduction
New wars, new tariffs, new Prime Ministers, heatwaves and massive wildfires have buffeted the region these past six months, and yet stock markets seem healthy and the oil price has not gone through the roof. Our world is more resilient than we might think. Or is it all an AI creation. In our Monitor series we deal with facts and here are the facts.
Lots of movement in the performance stats, with some big winners and sizeable losers. Congratulations to the big winners: Istanbul +26% in occupancy, Olympics-influenced Milan +6% in ADR and a whopping +52% in GOPPAR (Gold Medal to Milan). I am sure all our thoughts go to the Middle East, which has been devastated by conflict yet again, with ADR -33% in Dubai, occupancy -11% and GOPPAR -62% in Bahrain. Keep your chins up and H2 2026 will be better.
Construction costs continue on a generally upward trend (driven by labour availability issues and ongoing conflicts in the Middle East) but tender price growth in some markets can be suppressed by softer pipelines and increased competition for projects.
Plenty of deals happened around Europe (none to note in Middle East or Africa), with France particularly frenetic. For another half year in recent years, a good few ‘€1m per key’ deals were concluded. Spain and the UK (particularly London) were hotspots, with Germany and other countries showing lesser signs of activity.
Our world is more resilient than we might think.
Our final page feature is a brief update on the current mood around Hotel Ground Rents (predominantly in the UK) and we would like to thank each of the protagonists for their help and support in compiling this feature.
Philip Camble
Director, Whitebridge Hospitality
Editor, EMEA Hotels Monitor
About Whitebridge Hospitality
Whitebridge Hospitality is a specialist advisor to investors, developers and operators in the hospitality industry around the globe. We provide investment, operational and planning advice, and guidance in respect of the entire hospitality spectrum, including: hotels, mixed-use developments, conference and exhibition centres, spas, leisure facilities, casinos, visitor attractions and sporting venues. Our uniquely qualified team can provide services throughout an asset's life cycle, from site selection and acquisition, through master planning and feasibility studies, to operator selection, operational and asset strategy advice, to sale and agency services.