BNP Paribas Real Estate | France Hotel Market Update | March 2011
Although it stalled somewhat towards the end of 2010, the hotel business trend in France was deemed to be positive over the past year according to surveys among professionals (source Banque de France). This is a reflection, delayed by about six months, of the overall trend in business sectors and services in Europe. Firstly, domestic and international demand for French hotels rose sharply, after a dramatic fall between late 2008 and mid-2009. Secondly, headcounts have more or less stabilised and hotels' cash positions are considered to be acceptable, even though they are still well below their long-term level. The business survey trend for French hotels should be moderately positive in 2011.