APAC hotel investments surge 46% to US$12.1b in 2021 | Real Estate Asia
, APAC
112 views

APAC hotel investments surge 46% to US$12.1b in 2021

Hotels have gained appeal as a potential inflation hedge, says CBRE.

The hotel investment segment in Asia Pacific saw a strong recovery in 2021 with a total of US$12.1 billion worth of transactions for the year, reflecting a 46% year-on-year increase.

According to CBRE, this comeback was driven by a growing volume of capital seeking to increase its exposure to the sector.

Buoyed by a steady reopening of borders and easing travel restrictions, investors including REITs, private offices, and a growing volume of private equity are acquiring hotels to upgrade guest offerings in anticipation of pent-up tourist demand, as well as converting some hotel assets into offices and co-living spaces. CBRE believes new opportunities for the hotel industry in Hong Kong are emerging from acquisitions and conversions.

“Hotels are among the sectors poised to benefit as the region’s borders reopen. The sector offers attractive risk-adjusted yields and asset repositioning opportunities to investors seeking enhanced returns. Hotels have gained appeal as a potential inflation hedge due to the sector’s unique short lease period, measured in days rather than months or years as with other property types,” said Steve Carroll, Head of Hotels & Hospitality, Capital Markets, CBRE Asia Pacific.

Click here to view the full report of CBRE Asia Pacific Hotel Market Outlook - Trends to Watch in 2022.

 

Follow the links for more news on

Join Real Estate Asia community
Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

Exclusives

How Metland Indonesia deals with weaker residential purchasing power
The real estate firm continues to expand with residences that are attractive to consumers because of pricing, the ‘growing house’ concept, and sustainable features.

Event News

Event News

Real Estate Asia Awards 2023 Winner: Henderson Land Development Company Limited
Henderson Land Development Company Limited wins big at the Real Estate Asia Awards 2023 taking home 3 notable accolades, the Developer of the Year, Mixed-Use Development of the Year, and Residential Development of the Year awards for Hong Kong.
Real Estate Asia Awards 2023 Winner: Henderson Land Development Company Limited
Henderson Land Development Company Limited wins big at the Real Estate Asia Awards 2023 taking home 3 notable accolades, the Developer of the Year, Mixed-Use Development of the Year, and Residential Development of the Year awards for Hong Kong.