- In spite of the current economic conditions, France continues to attract an increasing number of foreign tourists notably from Germany Switzerland, Russia, the US, Canada and Japan.
- According to HotStats average occupancy across four and fi ve-star Paris hotels was 79.3% over the first three quarters of 2012, 80 basis points above 2011 levels. Five-star hotel occupancy excelled increasing 180 basis points to 79.6%, peaking at 92.5% in June.
- Revenue per available room (RevPAR) increased by 5.8% over the same period across both hotel categories in Paris. Gross profi t per available room (GOPPAR) was also up 5.8%. Again, fi ve-star hotels out-performed with GOPPAR up 13.2%.
- The number of hotels in France has been decreasing continuously since 2005. Development activity has decelerated sharply since the beginning of the year with the exception of Ile-de-France and in particularly Paris.
- Investors demand for hotels is growing; the supply of prime assets on the market was signifi cant and equity was available. Thus investment in hotel properties totalled €2.1 billion in 2012, 40% above the turnover recorded in 2011.
- Paris and the Riviera remain the key centres of the French hotel investment market whereas activity in regional markets remains subdued and sporadic.
Source: Savills