Choose your room
Is now the time for selective investment in hotels?
Heiko Szczodrowski, head of asset structuring at Commerz Real, certainly thinks that it may be.
At first glance, therefore, investing in hotels at the present moment seems to be something of a fool’s errand. After all, the pandemic is far from over, with the Delta variant that first emerged in India now dominant in the UK and spreading fast in much of the EU, as well as North America. Most parts of the developed world are making good progress with their vaccination programmes, but the World Health Organisation (WHO) estimates that it will take years to inoculate the world.
However, there are good reasons to invest in hotels at the moment. In the right circumstances and in the right locations, such investments could even prove highly lucrative. After all, as the hiatus from the pandemic last summer proved, people’s wanderlust has not gone away. Allowing people to travel across Europe in summer 2020 may not