Return to our Home page Search
Click here for the hotel and hospitality news from around the globe Hotel, Travel and Hospitality Articles Videos and in-depth Interviews
Read more now
Read more now
Read more now
Read more now
Read more now
Investor Sentiment: Outlook softening but markets remain liquid.
Thursday, 5th January 2017
Source : Jones Lang LaSalle

Global Highlights​: Investors’ outlook decreases from one year ago as more hotel investment markets reach a plateau in performance. 

Hotel investors’ outlook for the next two years shifts from 39% positive one year ago to 23% positive, according to the survey. 

With investor​s generally making less bold plays due to the mitigated growth outlook, hotel transaction volumes are slated to end 2016 down about 40% from the extraordinary levels posted in 2015. That s​​aid, large transactions continue to reach completion and the proportion of cross-border transactions is at an all-time high.

Initial yields (cap rates) have marked a nominal increase from our last survey, driven by investors’ expectations that interest rates will rise in a number of mature markets, investors’ outlook for slower growth in hotels’ operating income, and an overall less liquid transactions environment.

The upward push to cap rates is expected to result in a narrowing in seller and buyer expectations and underpin continued healthy levels of transactions. 

Despite headwinds inherent based on the survey data, real estate private equity funds and institutional investors continue to raise a significant amount of capital and hotel real estate investment trusts have posted a recent recovery in share prices. 

What are the hot markets? ​Where are investors planning to develop or acquire? Find the answers in our latest Hotel Investor Sentiment Survey​.​ ​

Visit Unplugged Collection
 Latest News  (Click title to read article)

 Latest Articles  (Click title to read)

 Most Read Articles  (Click title to read)

~ Important Notice ~
Articles appearing on 4Hoteliers contain copyright material. They are meant for your personal use and may not be reproduced or redistributed. While 4Hoteliers makes every effort to ensure accuracy, we can not be held responsible for the content nor the views expressed, which may not necessarily be those of either the original author or 4Hoteliers or its agents.

© Copyright 4Hoteliers 2001-2017 ~ unless stated otherwise, all rights reserved.
You can read more about 4Hoteliers and our company here

Use of this web site is subject to our
terms & conditions of service and privacy policy