about us | newsletter | contact | archive | members area
CORNELIU BODEA, CRE
We are in charge of coordinating the energy sector and by June we will announce a plan w»
  News:      POLITICS   |   ECONOMICS   |   ENERGY   |   INVESTMENTS   |   APPOINTMENTS   |   GREEN   |   INFRASTRUCTURE   |   REAL ESTATE   |   AGRIBUSINESS   |   DRIVING   |   CITY LIFE   |   EVENTS   |

Investors pour more money into the booming CEE hotel industry, says Cushman & Wakefield

The investment volume achieved in 2016 totalled almost 1.2 billion Euro with 46 transactions recorded in core CEE hotel investment markets, while in 2015 reached just over 700 million Euro with 45 transactions, shows a press release issued by Cushman & Wakefield.

2017-03-20 16:13:46

Austria was the star performer with almost 800 million Euro transacted, which made up 67 per cent of the total investment volume. In other CEE markets volume was lower than in 2015 with a decline in Poland which more than halved in volume. The Czech Republic accounted for 18 per cent of total CEE investment share; most of the investment took place in Prague which saw 7 transactions including the Hilton Old Town, Park Hotel and Chopin Hotel.

The CEE hotel industry reported growth across all key performance metrics. Increasing number of tourists have chosen CEE destinations, thus occupancy rates returned or even surpassed the pre-crisis levels, reaching 72 per cent on average up from 69 per cent. As the cost of visiting CEE has gone up along with the increasing hotel room rates, profits have been soaring. The average price per room reached 76.6 Euro up from 73.6 Euro in 2015. While the Eastern markets achieved double digit growth in terms of revenue per available room, the more mature markets of Central Europe including Prague and Warsaw saw growth of around six per cent.

"The Romanian hotel industry currently benefits from strong fundamentals and an important growth potential," said Marius Grigorica, senior broker capital markets Cushman & Wakefield Echinox. "The main performance indicators in 2016 benefited from a positive evolution and registered growth rates almost double as compared to other capital cities like Prague and Warsaw. Thus, the Bucharest occupancy rate in 2016 increased by 4.7 per cent as compared to the previous year and the average daily rate (ADR) benefited by 5.8 per cent rise."

In 2017, investors' activity will be notable especially in Hungarian, Austrian and Romanian hotel investment markets, where significant assets are set to be put up for sale or about to be transacted.



COMMENTS
There are 0 comments:

 
ADD A COMMENT
 
Name
Email
Comment
Validation Code
   
 
 

0 Comments  |  2084 Views
Daily Info
Romanian Energy Awards 2017 - performance and exceptional accomplishments

The Diplomat - Bucharest celebrated the winners of 21 assigned categories for both conventional and renewable energy, within a prestigious event continuing the annual traditio...

New law on ports administration would be very damaging for Romanian state budget, Fondul Proprietatea says

Fondul Proprietatea is concerned by the renewed steps to approve the draft law amending the Government Ordinance on ports administration, which was re-examined and approved th...

Vienna Insurance Group posts profit of 110 million Euro in Q1

Vienna Insurance Group reported a profit before taxes of around 110 million Euro in the first quarter of 2017, according to a press release.

Three Romanian architecture offices merge into CUMULUS

PZP, SYAA and ARXTUDIO offices have merged into CUMULUS, in one of the rare transaction on the Romanian architecture sector. The new company has a combined turnover of over on...

Eberspaecher forecasts slight increase in revenue for 2017

The German automotive supplier Eberspaecher forecasts sustained positive income development with a slight increase in revenue for 2017, a press release shows.

 
 
   
advertising

advertising

advertising

advertising

More on News
Iohannis: I explained to EU leaders multi-speed Europe is not a good solution, could end in split-up

President Klaus Iohannis, speaking after the European Council's meeting, said that he explained to EU leaders that a multi-speed Europe is not a good solution and that in e...

1 Comment

BRUA pipeline to operate in 2020 when Exxon, Petrom will extract Black Sea gas

The works at the BRUA (Bulgaria - Romania - Hungary - Austria) pipeline will start at the end of 2017, and the gas pipeline will become operational in 2020, when ExxonMobil...

Ninety-seven per cent of household waste ends up in landfills, says ARBIO

As much as 97 per cent of Romania's household waste ends up in landfills, and Romania could be fined starting in 2020 about 500,000 Euro per day if it fails to bring the nu...

Net investment in national economy, down 3.3 per cent in 2016

Net investment carried out last year in Romania's national economy stood at 70.281 billion RON (15.6 billion Euro, declining 3.3 per cent from 2015, according to data relea...

Commercial property investments in Romania exceeded 850 million Euro last year, says DTZ

In 2016, the total volume invested in commercial property in Romania exceeded 850 million Euro, a DTZ Echinox report shows. Bucharest attracted 660 million Euro, which repr...

Romania has significant potential in agriculture, but low productivity, says PwC Romania

Romania is one of the European countries with the highest potential in agriculture with the sixth biggest agricultural use area in the EU, but it has a low productivity due...

PM Grindeanu in Brussels: Policies on cohesion funds, common agricultural policies important to Romania

The policies regarding the cohesion funds and the common agricultural policies are important to Romania, Prime Minister Sorin Grindeanu said in Brussels, in talks with seve...