Hotel investments are asserting themselves as an attractive asset class despite high financing costs and economic uncertainties. This is shown by the current trend survey by mrp hotels based on 42 market participants in the real estate industry, including investors, asset and investment managers and real estate consultants. The respondents are particularly positive about the segment’s long-term prospects: around 45 percent expect hotel investments to continue to gain in importance over the next three years. At the same time, more than 90 percent consider hotels to be at least as attractive or more attractive compared to other asset classes.
“The results clearly show that hotel real estate is perceived as a resilient and future-proof component of institutional portfolios despite economic uncertainties. Operator quality, location profile and flexible usage concepts are moving more into focus,” says Martin Schaffer, Managing Director at mrp hotels.
Market position: Hotels establish themselves as a strategic portfolio building block
In the current market environment, hotel investments already play a central role for the majority of respondents. Almost 70 percent rate their importance in their working environment as high or very high. The outlook also remains predominantly positive: around 45 percent of the participants assume that the share of hotel investments in real estate portfolios will increase in the future. Only around 14 percent, on the other hand, expect a decline. 41 percent do not expect any change.
Hotels also perform positively in the attractiveness ranking compared to other usage classes. Although residential real estate is still considered the most attractive asset class, hotels, together with logistics properties, are well ahead of office and retail properties. “This underlines the increasing establishment of hotels as a strategic component of diversified real estate portfolios,” says Schaffer.
Regional investment strategies: Focus on Spain and top urban locations
Respondents expect the greatest investment momentum in the next two years in Spain (55 percent), in the home market of Germany (40 percent), Italy (33 percent) and Scandinavia (29 percent). This means that many investors are focusing in particular on markets with strong tourist demand and stable growth prospects.
Urban A-locations continue to dominate among the preferred locations: More than 83 percent of those surveyed currently see metropolises as particularly in demand. At the same time, holiday regions and resorts are gaining in importance again (43 percent) – an indication of stable demand in the leisure segment.
Investment environment: Financing costs remain the biggest challenge
The results of the survey make it clear that the global development of tourism demand (60 percent) and stable operator performance (55 percent) are currently the main decision-making drivers for hotel investments. At the same time, the market environment remains challenging. More than 83 percent of the participants see the current interest rate and financing environment as the greatest burden. In addition, rising construction costs (57 percent) and operator risks (45 percent) have a noticeable influence on investment decisions. Regulatory requirements (10 percent) or ESG requirements (5 percent), on the other hand, currently still play a comparatively subordinate role.
Market is developing into a specialised operator and concept market
The participants see particularly high growth potential in budget hotels and serviced apartments (52 percent each). Both segments are benefiting from the increasing price awareness of travelers as well as from the growing demand for flexible and longer-term stay formats.
Overall, the survey shows that the European hotel investment market is becoming increasingly differentiated and professional. For investors, specialised operator concepts, strong brands and clearly positioned locations are becoming increasingly important.
“The market is moving away from the classic standard product towards specialised concepts with a high level of operator competence and a clear target group approach. This is precisely where the greatest opportunities for investors will lie in the future,” Martin Schaffer sums up.
Methodology
For the trend survey, mrp hotels surveyed market participants from the hotel and real estate industry, including institutional investors, asset and investment managers, brokers, advisors and family offices, between April 15 and May 21, 2026. A total of 42 people participated. The survey was conducted anonymously via an online survey.
Graphics – mrp hotels Trend survey on hotel investments
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