Market Trends

🏨 In 2025, Europe's hotel investment market reached €22.6 billion, a 30% increase from 2024. The UK led with 25% of the market volume. There were 461 deals involving 725 hotels, with an average transaction price of €31.1 million. Single asset transactions hit a record €15.6 billion. London surpassed Paris in single asset market liquidity with €1.8 billion. Portfolio transactions grew 3% to €7 billion. European investors led with 81% of single asset transactions.

📍 In March 2026, IHG CEO Elie Maalouf addressed the IHIF in Berlin about the persistent uncertainty in the hotel industry. He noted that while the sources of uncertainty vary—such as tariffs in the previous year and Middle Eastern conflicts currently—the industry's impact remains steady. Maalouf emphasized that consistency in scale and segment breadth is crucial for operators to navigate these turbulent times.

📈 Hilton's deal with Yotel adds 5,700 rooms without acquiring the brand, marking a shift towards asset-light expansion. Under the "Select by Hilton" umbrella, the agreement serves as a growth model in the hotel industry. In 2024, IHG partnered with Novum Hospitality, adding over 100 hotels to its portfolio, increasing it by 1.9%. Marriott and MGM Resorts, as well as Hyatt and The Venetian, have similar loyalty licensing agreements.

🏨 Over the next decade, international tourism growth is projected to drop below 2% annually from previous rates of 4-5%. By 2027, micro-luxury hotels will emerge. Two major hotel chains may face bankruptcy or breakup within five years. Labor shortages could reach 1-1.5 million in the Netherlands by 2035. Average city hotel stays are declining from 3.2 nights in 2019 to 2.4 nights by 2024. Additionally, AI might bifurcate the hospitality market, with 40% of mid-tier hotels potentially facing bankruptcy or acquisition.

📍 In 2025, Radisson Hotel Group signed and opened over 272 hotels worldwide. They led in Europe with Radisson Blu in 154 cities, spanning 27 resorts. Key partnerships included The Medlock at Manchester City's Etihad Stadium and Radisson Hotel Cannes Seaside. Notably, they launched the first two net zero hotels: Radisson Manchester City Centre and Radisson RED Oslo. In China, 170 hotels were added, fueling their nearly 300-property pipeline. In India, they reached over 200 hotels in operation and development.

📍 February 2026 saw Canada's hotel industry performance increase: Occupancy at 57.9% (+0.2%), ADR at CAD197.05 (+4.0%), and RevPAR at CAD114.18 (+4.2%). Manitoba led with occupancy at 66.8% (+7.6%), ADR at CAD178.28 (+7.8%), and RevPAR at CAD119.17 (+16.0%). Vancouver's occupancy rose to 73.8% (+3.7%) and RevPAR to CAD166.24 (+7.8%). Despite Toronto’s occupancy drop to 63.8% (-7.2%), it achieved the highest ADR rise to CAD229.48 (+7.2%).

🏨 Accor operates over 180 hotels globally under its collection brands, including Emblems Collection, MGallery, and Handwritten Collection. With 125+ hotels in the pipeline, a growth of over 65% is expected. Emblems Collection aims for 60 properties by 2032, adding its first UK location, Lucknam Park Hotel & Spa, in November 2025. Rimrock Banff in Canada opens in June 2026, with six more locations in Greece and Italy by early 2027, enhancing Accor's diversified global presence.

🏨 In 2025, IHG Hotels & Resorts achieved a major milestone in Europe with 150,000 open rooms, comprising 15% of their global system, thanks to a 27% growth and 32,800 new rooms. European hotel investment hit €27 billion in 2025, marking the highest since 2019. Germany now accounts for over 20% of IHG’s rooms, highlighting its strategic importance. IHG opened 102 hotels and signed 117 new properties, expanding its portfolio to over 1,230 hotels across 40+ countries.

🛫 From Q1 2023 to Q4 2025, global one-night stay searches rose by 9%, with North America seeing a spike from 31% to 56%. The trend of shorter stays and reduced lead times is evident, with an increase in flexible travel preferences. In Europe, one-night stay searches dropped from 39% to 20%, while Oceania saw a 9% rise. Asia experienced a decline, and Latin America a modest 5% increase. The hospitality industry must adapt to these evolving patterns.