MidEast hotel investors hungry for deals

Jones Lang LaSalle Hotels has said that 38.6% of investors across the globe indicated a ‘buy’ strategy for the next six months.

The Middle East showed one of the largest market growths in investor ‘buy’ sentiment alongside Europe and Africa, while in the Americas ‘buy’ sentiment decreased slightly but remains the highest out of the countries, according to the firm.

The firm’s proprietary survey is directed toward the world’s 6000-plus leading hotel investors and owners.

Upscale assets continue to be the most sought after asset type globally, though midscale properties have gained favour, the study showed. Private equity and real estate funds are the most likely buyers around the world in the near-term.

The ‘sell’ sentiment continues to be strongest in EMEA at 13.8%, and lowest in the Americas at 7.8%. The Spanish resorts continue to top the global list of ‘sell’ targets (60%), followed by Marrakech (40%) and Moscow (36.4%).

Investors active in EMEA exhibited weakened hotel operating performance expectations both in the short and medium term.

“Yet fundamentals have not shown any deterioration, and on a city level, 54% of all cities tracked in EMEA are anticipated to show growth in the coming six months and 81% when considering the medium term,” said Arthur de Haast, global CEO for Jones Lang LaSalle Hotels.