Hotel acquisitions and development in Europe’s top cities essential for survival in 2015: report
Leisure Opportunities
Job search
Job Search
see all jobs
Latest job opportunities
Huntingdonshire District Council
£20,653 per annum
Huntingdonshire, UK
Legoland Discovery Centre
Competitive
Massachusetts, USA
star job
Hurlingham Club
£20,286 plus benefits
Fulham, London, UK
The Jockey Club
Up to £55,000 (depending on experience) + pension
Newmarket, UK
Kirklees Council
£33,136 - £35,229
Huddersfield, UK

Hotel acquisitions and development in Europe’s top cities essential for survival in 2015: report

Job opportunities
Myerscough College
£20,657 - £29,880
location: Preston, UK
Viavi:Be
Competitive Salary & Benefits
location: Oxford, UK
more jobs

If you’re not dining, you’re dinner. That's the key hotel theme of 2015, according to a new report, which foresees voracious acquisitions as essential to survival in the sector.

Consolidation among major hotel companies will be paramount, says global hotel consultancy HVS, as large groups will have to grow or risk being taken over.

“Organic growth is a relatively slow way to expand, so hotel groups will be looking for opportunities to make quantum leaps, by buying other groups and driving more value through economies of scale,” said chair of the consultancy’s London arm, Russell Kett.

“Hotel investors are looking at cities such as Barcelona, Hamburg, and Munich, which HVS has highlighted as development hot-spots,” he said.

“This is where we expect to see an increase in both business and leisure demand and where investors are likely to see a bigger return,” he added. Cities highlighted as currently to be avoided for new development include Athens, Budapest, Kiev, Vienna and Warsaw.

A lack of hotels on the market means that transaction volumes are down on levels experienced in 2005-07. But coupled with demand and profitability, this should mean hotel values continue to rise for the foreseeable future.'

New investors to the sector include insurance companies and hedge funds, but Kett predicts that major transactions this year will be dominated by private equity buyers.

Sign up for FREE ezines & magazines
If you’re not dining, you’re dinner. That's the key hotel theme of 2015, according to a new report, which foresees voracious acquisitions as essential to survival in the sector.
HOT
Munich: one of the ‘hot cities’ identified in the HVS preview of 2015 / Shutterstock: manfredxy
employer of choice
Would you like to work for a gym operator that allows you to develop and use your skills to the full whilst being well rewarded? The Gym is totally committed to allowing 'the manager to manage' and rewarding our key personnel for delivery... More
Alliance Leisure
Alliance Leisure