European hotel segment sees soaring investment volume
The European hotel investment is becoming a growing commercial property asset class, driven by a number of factors including high investor appetite for consumer-driven real estate asset classes in a time of low inflation and rising consumer spending.
European hotel investment volumes reached €3.74 billion ($4.24 billion) in first quarter 2015, more than double first quarter 2014 volumes of €1.73 billion ($1.96 billion), according to the latest data from CBRE.
The United Kingdom, France and Germany presented strong growth in first quarter 2015 with year-on-year investment volumes increasing by 38 percent, 90 percent and 225 percent, respectively. London, Paris and Berlin were the most active investment markets.
Southern Europe saw a substantial uptick in transaction volume across the region in the first quarter, reaching €878 million ($995 million), a 301 percent increase from first quarter 2014. The increase was largely due to a n