Spain stands out in post-Covid European hotel market recovery says BofA

Elior SA

18/10/2024 11:10

** Bank of America Global Research says that the European hotel market benefited the most
from the post-Covid global tourism recovery, noting that Southern Europe ranks even higher in
that recovery
    ** BofA notes that Spain is the top tourism investment destination in Europe, with 25% of
the total European transaction volume in 2023
    ** The broker says that the Spanish hotel market stands out thanks to a large supply/demand
imbalance, with supply struggling to recover from Covid lows
    ** Demand for overnight stays increased 12% in Spain over the 2015-23 period while the
number of beds only increased 7% over the same period, as the number of hotels mostly remained
unchanged, says the broker
    ** But BofA believes supply in Spain is poised for growth with new capacity expected at +4%
in number of rooms and +270 new hotels over 2024-26
    ** The countries that benefited the most from the strong inflow of international tourists in
2023 were Spain with 85 million, Greece with 33 million and France with 100 million, up 2%, 5%
and 10% vs 2019 respectively, says BofA

 (Reporting by Joao Manuel Mauricio)
 ((JoaoManuel.VicenteMauricio@thomsonreuters.com))