Why 2022 is the year of hotel investment

In this guest article, reproduced in full from an original post on LinkedIn, co-founder of AGO Hotels, Viv Watts, outlines why UK hotel investment is experiencing significant growth so far this year.

Despite a tumultuous past two years for the hotel industry, as we near mid-Q1 2022 we are beginning to see an uptick in the market with significant growth in UK hotel investment.

This increase in appetite for investment in the sector is borne out by recent research from Savills and Knight Frank, which highlighted transaction volumes in 2021 were significantly above 2020 and expect this trend will grow further in 2022, forecasting transactions may reach £4.5 billion by the end of the year.

It’s safe to say at AGO Hotels, we see 2022 as being a very exciting year for hotel investment and growth of the hybrid lease as a strong alternative for hotel investors.

Why is hotel investment gaining traction now?

There are several factors contributing to the increase in UK hotel investment. Despite travel bans, lockdowns and ever-changing rules and restrictions, people found new ways to holiday over the past two years – and hotels found ways to adapt. The ‘staycation’ regained its popularity in the UK, with people traveling domestically and enjoying the benefits offered by destinations closer to home. AGO believe there will be a strong bounce back with the return of international visitors in 2022 which will continue to drive and support further recovery.

READ THE FULL ARTICLE HERE: Why 2022 is the year of hotel investment... (propertyinvestortoday.co.uk)