MGK Hospitality : EU Reaches 5.2 Million Rooms
|
|
MGK Hospitality : EU Reaches 5.2 Million Rooms
|
Category: Europe - Industry economy -
Figures / Studies
This is a press release selected by our editorial committee and published online for free on 2010-06-16
European Union hotel supply has recorded a similar growth to
last year to now reach 147,000 hotels and 5.2 million rooms.
Over 80,000 hotel rooms have been added to EU hotel supply, half of which in Spain, Germany and Italy –
markets with an already mature, if not oversupply.
According to MKG Hospitality, the EU is experiencing a certain level of restructuring, with outdated independent
properties fading in favour of new economy-budget hotel products, particularly in France, Germany and
the UK. Chain hotel are also strengthening their position, now with almost 11,500 hotels and 1.3 million rooms,
representing just over 26% of total number of rooms.
“This is still much lower compared to the chain penetration rate in the US, where it reaches 70%, as Europe
historically revolves around independently- and family-owned properties. However this is changing fast, with
brands becoming the preferred option,” sates Director of Development, MKG Hospitality, Vanguelis Panayotis.
“As expected, the growing difficulties to find good sites, especially downtown locations, and at reasonable
prices, has compelled most European-based hotel groups to favour franchising during this period of development,”
adds Panayotis.
Despite traditionally low bank rates, repayment due dates should also force more real estate asset transactions
throughout Europe. As the recovery continues, investors in a financially healthy position will be encouraged to
pursue these new opportunities.
This year, MKG Hospitality’s EU hotel supply benchmark report looks at Spanish and Dutch market volatility,
French budget hotel resilience during the economic crisis, strong turnaround in the UK driven by London, as
well as a country-by-country analysis and each market’s position within the hospitality cycle.
The MKG Hospitality annual
report on hospitality in the European
Union offers a thorough
analysis of market diversities,
concerning each market: Spanish
and Dutch markets volatility
confronted with hospitality
cycles, French budget hospitality
resiliency confronted to the
current crisis, the strong upturn
of the British market based on
London metropolis, hospitality
supply and demand evolution
cycles are among the numerous
analyses that this study reveals.
|
|
