Japan and China Lead Global Hotel Investment Surge

Japan and China are emerging as top destinations for global hotel investments, driven by strong travel demand, economic optimism and promising returns for investors. Analysts are saying hotels are emerging as a top choice for global investors as the appetite for travel remains strong despite ongoing economic challenges with Japan said to be leading the pack with both hoteliers and investors identifying the country as the prime destination for hotel investments. Key drivers behind this surge in hotel investments include the potential for higher returns, price corrections, distressed assets and a lower cost of capital. Nearly 75% of surveyed investors expressed a strong interest in opportunistic and value-added hotel assets this year. While Japan has solidified their position as top target for hotel investments, China remains on the radar of major players. Radisson Hotels was named as one while Mandarin Oriental Hotel Group was singled out with the opening of the Mandarin Oriental Qi