Jones Lang LaSalle Hotels has published the results of its latest Hotel Investor Sentiment Survey (HISS), which reveals that the hotel real estate sector remains strong.

The analysis shows that global hotel transactions are set to hit the US$70bn (£35.5bn, 53bn euro) mark by the end of the year, representing a 38 per cent rise on 2005 and making 2006 the strongest year on record.

Arthur de Haast, global CEO of Jones Lang LaSalle Hotels, said: “Buyers outnumber sellers by 3:1 globally and stock is scarcer still in Europe where buyers exceed sellers by 5:1.”

The survey also found an exceptionally positive outlook for the Asia Pacific region as well as Western Europe, especially London and Paris. However, in the medium term, the Eastern European market, particularly in Zagreb, Prague and Moscow, is expected to be stronger.

De Haast added: “Along with trading optimism there has been a tightening in average yields globally, which has emerged as a result of a positive economic climate plus substantial capital in the market, limited new supply, increasing transparency and ongoing improvements in hotel trading performance. In Europe and Asia we have seen the first signs of yield stability.” Details: www.joneslanglasalle.co.uk