Hotelmarkt Frankreich

Many experts, many angles

Panel discussion in Paris yields new insights

In mid-June, we teamed up with Investment Briefings Ltd. to invite business partners and international experts from the hospitality industry to Paris for a discussion on the European hotel investment market. “What is the outlook in France and across Europe? What are the key trends that will influence the market?” were the questions we asked with regard to France, Germany and the UK as core markets.

European Hotels Investment Briefing - Paris 2019

A number of trends and challenges emerged

You´ll find some of the positions taken by the panel members hereafter:

  • Romain Gowhari
    „There is a lot of frustrated capital in the market. If you have hotels to sell, now is the time. In terms of secondary markets, Nice is the market to focus on in the coming years. There is potential for RevPar increases."

    Romain Gowhari, Executive Vice President, Head of Transactions France – Hotels & Hospitality Group, JLL

  • Andreas Löcher
    "We are currently preparing our comeback in France. Paris is top of the list, also for VEFA. The regional markets offer attractive investment opportunities for our new funds. There are good opportunities in France for portfolio transactions, including smaller hotels."

    Andreas Löcher, Head of Investment Management Hospitality, Union Investment

  • Asli Kutlucan
    "Alongside lifestyle brands, extended stay will become one of the most attractive asset classes. I’m convinced that trends based on the sharing economy will change the European hotel markets. Our approach of creating clusters, i.e. in south Paris, is a good way to generate synergies."

    Asli Kutlucan, Chief Development Officer, Cycas Hospitality

  • Alexandre Couturier
    "I wonder how we will accommodate the new trends driven by the sharing economy in real estate. These trends can only be realised in new hotel buildings. But construction is heavily regulated in Paris."

    Alexandre Couturier, Partner, Clifford Chance

French Hotel Investment Barometer 2019 coming soon

At our Paris event, opinions and expectations voiced by the experts and attendees varied widely.

Fleeting snapshots or true picture? Which investment strategy are investors pursuing in practice? What drivers and obstacles do they see for hotel investments in France? Which locations/regions offer the greatest potential? Which social trends are impacting the sector? …

We were curious about these questions. Accordingly, we have launched a survey among French market players in association with BUSINESS IMMO. The results of this first “hotel investment barometer” will be available by the end of September.

Visual Barometre Hotel

Register for the study

Interested in the results? If yes, register now to be among the first to receive a free, no-obligation copy!

Expansion in the French hotel market

Union Investment is one of Europe`s leading hotel investors, but of the around 70 hotels in our actively managed portfolio, only two are in France. We want to change that.

Hotel properties remain highly favoured, with broad-based demand from investors. The French hotel market offers excellent prospects for institutional investors. In 2018 alone, average revenue per room increased by 7.3 per cent. Of the EUR 5.5 billion currently invested by Union Investment in hotel properties across nine countries, France accounts for a share of just 3 per cent. We want to significantly increase this figure in order to better reflect the strength of the French market in our portfolio.

Our hotel properties in France

Your contacts for hotel transactions in France

Andreas Löcher

Andreas Löcher
Head of
Investment Management Hospitality

+ 49 40 34919 4184
andreas.loecher@union-investment.de

 

Philipp Kunz

Philipp Kunz
Investment Management Hospitality

+ 49 40 34919 4916
philipp.kunz@union-investment.de

 

5 strong arguments for Union Investment

  • More than 45 years of expertise in hotels
  • Staff combine in-depth knowledge of hotel sector and property industry
  • High level of transaction reliability
  • Innovative contract structures and a can-do attitude
  • Development projects also acquired

Hotels are our core specialism

Union Investment has been investing in hotels for over 45 years. Our long experience and special expertise have allowed us to build an attractive and broadly diversified hotel portfolio. We want to achieve further growth – both in Europe and beyond.

Specialist skills for specialist properties

What sets us apart is the dual competence that underpins our success. In addition to our real estate and financial expertise, we have in-depth knowledge of the hotel sector and a detailed understanding of the challenges associated with this specialist property type. Hotels require a high level of specialisation from investors – with regard to transactions and also contracts. We address the complexity of the hotel market with modern strategies and innovative contract structures.

37 established hotel brands in the portfolio

We currently manage hotel properties in Europe and the US with a total value of EUR 5.5 billion (incl. mixed-use properties). Acquisition opportunities are boosted by our broad range of funds. We invest in existing properties and turnkey development projects. Some 40 per cent of all our hotels were acquired at the project stage. We work with major market players around the world and currently have 37 big-name hotel brands in our portfolio, from the budget to upscale segments.

Our portfolio - a snapshot

  • Barcelo Raval Barcelona
    Barcelo Raval, Barcelona (Spain)
  • Scandic Emporio Hamburg
    Scandic EMPORIO, Hamburg (Germany)
  • Holiday Inn Warsaw
    Holiday Inn, Warsaw (Poland)
  • Hotel andel´s Berlin
    Hotel andel´s, Berlin (Germany)
  • LondonHouse Chicago
    LondonHouse, Chicago (USA)
  • Radisson Blu Amsterdam
    Radisson Blu, Amsterdam (The Netherlands)
  • Motel One Hamburg
    Motel One, Hamburg (Germany)
  • Hyatt Place Charleston
    Hyatt Place & Hyatt House, Charleston (USA)
  • Radisson Blu London-Stansted
    Radisson Blu, London-Stansted (UK)

Further hotel topics of interest

Extended Stay

Interview: Hoteltrend Extended Stay

Institutional hotel investors have already discovered the appeal of extended stay concepts. In this interview, Martin Schaller and Andreas Löcher of Union Investment explain the background.

Teaser-Link
Pullman Berlin

Best Case: Pullman Berlin

After some 20 years a bold refurbishment has highlighted the hotel's unique character and added many creative touches.

Teaser-Link