Hotel Investment poised to gain momentum as investors target recovery cycle

Following an abrupt decline in purchasing appetite in the aftermath of the onset of the COVID-19 pandemic, investor sentiment towards hotels has strengthened significantly over the course of this year as the vaccine rollout picks up pace and an economic recovery comes into view. 

Recent months have seen an increasing number of seasoned and well-capitalised investors return to the market to make acquisitions, with several major portfolios and premium assets changing hands in several markets, most notably Australia and Japan. 

Although measures to contain the rapid spread of the delta variant of COVID-19 disrupted a nascent domestic-driven tourism recovery in many regional markets in H1 2021, optimism is building as several countries relax travel restrictions, with resort properties and destinations likely to be among the first to benefit from the resumption of international leisure travel. 

This report identifies the key trends to watch in the Asia Pacific hotels market over the next 12 months; discusses the anticipated characteristics and pattern of the recovery; and identifies the optimal strategies and most attractive markets for investors looking to ride the hotel recovery cycle.