Hotel sales forecast to rise in 2012

15 December 2011

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The hotel industry in the UK has continued to expand, despite negative economic trends.

This is according to Soric International managing director Mark Blick, who noted 106 new buildings opened in this sector during 2011, containing a total of 11,800 rooms.

Furthermore, 170 more of these premises are expected to begin operating in 2012, with 21,500 accommodation units, he added.

Commercial mortgages may have been used for some of these purchases, as the expert noted the UK has "remained one of the most active nations in terms of hotel acquisitions, especially single asset transactions".

Volumes in the industry are forecast to continue growing, with a particularly high performance anticipated in the third quarter of 2012 due to the Olympic Games, he added.

This event will take place between July 27th and August 12th, with the Paralympics occurring between August 29th and September 9th.

However, although this sector appears to be strong, there is "still a long time" before the sales seen during 2006 and 2007 can be expected, Mr Blick remarked.