Worldwide hotel deal volume increased to $24.3bn in 2010 as investors re-entered the hotel industry following the 2009 recession, according to Lang LaSalle Hotels’ Hotel Investment Outlook report.
The report claims that US hotel deals rose to a maximum in 2010, with transaction volumes rising five-fold to $11.1bn, driven by acquisitive REITs and the $3.9bn purchase of extended-stay hotels.
Europe, Middle East and Africa registered a jump of more than 110% in volumes to $9.3bn.
Asia Pacific grew at a moderate pace, with total sales of $3.9bn, but Japan experienced a slowdown in deals.
The report expects US hotel real estate sales to rise to $13bn in 2011, driven by the breadth of equity and an increased number of bank-enforced sales.