Spain is one of the most popular tourist destinations in the world, and investing in hotel property in this country can be very profitable. In this article, we will look at the main aspects of the Spanish hotel investment market, including market size, dynamics, key trends and factors influencing it.
Size of the hotel real estate investment market
According to Colliers International, in 2022 the volume of investment in hotel real estate in Spain amounted to 2.5 billion euros. This is 49% less than in the record-breaking 2018, but still significantly higher than in previous years.
The Spanish hotel investment market is experiencing a period of growth. This is due to several factors, including:
Stability of the Spanish economy: Spain is one of the most stable economies in Europe, which makes it attractive to investors.
Popularity of Tourism in Spain: Spain is one of the most popular tourist destinations in the world, resulting in high demand for hotel rooms.
Rising property prices in Spain: Property prices in Spain are rising, making investment in hotel property more profitable.
Growing Interest in Apartment Hotels: Apartment hotels are very popular among investors as they offer a combination of hotel services and the convenience of apartment living. Aparthotels are one of the most popular investment options in Spanish hotel property. They offer a combination of hotel services and the convenience of apartment living, making them attractive to investors and renters. Apartment hotels are in great demand among tourists who prefer a more independent holiday.
Investments in new hotels: Investors increasingly prefer to invest in new hotels that meet modern standards and requirements.
New hotels tend to have higher profitability levels than older hotels. They are also more attractive to tourists as they offer a higher level of comfort and services.
Investing in Green Hotels: Investors are increasingly focusing on green hotels that adhere to sustainable development principles.
Investors are increasingly paying attention to environmentally friendly hotels that comply with the principles of sustainable development. Eco-friendly hotels are in demand among tourists who care about the environment. They can also receive tax breaks from the Spanish government.
In addition to the trends listed above, the following can be identified in the Spanish hotel investment market:
The growing popularity of the tourist destination “Atlantic Coast of Spain”: This is due to the development of infrastructure and improved quality of service.
Increasing interest in investing in villas and holiday apartments: Apart from investing in hotels, investors are also showing interest in investing in villas and holiday apartments. Such properties are in great demand among tourists who prefer to spend their holidays in private accommodation.
The market for investment in hotels in Spain is relevant as Spain is one of the most popular tourist destinations in the world. The market is expected to grow in the coming years, making investment in hotel property in Spain attractive to investors.