Global hotel investment activity picking up, albeit a staggered regional market recovery is expected
August 18, 2021
Global hotel investment activity in H1 2021 reached $30 billion, representing a strong increase in sales activity of 66% year-over year, and only 4% less than the level achieved over the same period in 2019. The level of activity observed during the first half of 2021 was primarily driven by an extraordinary boost in Q2 transaction volume resulting from The Blackstone Group and Starwood Capital Group’s acquisition of Extended Stay of America for $6.0 billion in the Americas. The Americas accounted for nearly 70% of total global hotel investment volume in H1 2021, as the region benefited from a high proportion of the population being vaccinated and demand ramping up faster than expected upon cities lifting their restrictions. Activity across APAC and EMEA remained more subdued given lower vaccination rates, recent COVID-19 outbreaks and renewed lockdown and travel restrictions.