Among the ten most attractive European cities for hotel rooms investments it includes Athens, which occupies ninth place. According to relevant research of Deloitte, which captures the trends of the tourism and hospitality industry for 2023, a large portion of industry representatives estimate that Greece as a whole has positive prospects in terms of hotel investments.

The most attractive city for this type of investment remains the Amsterdamwhile the second place was occupied by Lisbon and London “fell” to third place. They follow it Paristhe Madridthe Barcelonathe Rome and Berlinwhile after Athens, the top ten is completed by Dublin.

Analyzing the investment categories, it seems that hotels are a more attractive investment opportunity compared to serviced apartments. As sources of financing for these investments, 27% of at least 100 respondents estimate that private equity will remain the main source of equity capital for hotel acquisitions in Europe in 2023.

On the other hand, alternative lenders are the most common source of financing in the European hotel market for 2023, while all other sources have their momentum compared to a year ago, with the exception of traditional financing and sovereign wealth funds. .

Europe is the focus of investments

About 2/3 of respondents (62%) expect investment interest in the hotel industry to come mainly from Europe, less so from the UK, while increased investment interest is currently emerging from North America, the Middle East. and North Africa compared to 2021.

Finally, in terms of the European outlook and investment cycle, it is estimated that the United Kingdom (37%), Germany (29%) and Ireland (28%) are on the decline as hotel investment destinations, while Greece (31%) Spain (33%) and Portugal (33%) on the rise.

The dangers

According to the Deloitte report, rising costs, lack of skilled labor, high staff costs and rising interest rates are the major risks threatening the growth of the Tourism and Hospitality industry. Major players in the sector are now turning to a more defensive and conservative policy, focusing on improving performance and managing their cash flows.

85% of respondents cite “managing inflationary pressures” as the number one priority on their agenda, while recruiting the right staff and reskilling/upskilling the industry is a serious concern for 63% of respondents.

At the same time, the prospect of recession, the inability to readjust prices upwards despite strong inflationary pressures, the changes of climate change as well as the lack of compliance with the sustainable development agenda and strategy endanger the prosperity of the sector in the next period . (1-3 years).

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