Hotels 'are a good investment'

29 November 2011

Written by Steve Olejnik

Hotels provide a good money-making opportunity, it has been said.

People looking for the best commercial mortgage may wish to purchase these assets, as HOTELINVEST owner Thomas Wuhrer asserted return on investments typically reach between six to seven per cent of the total capital outlay.

This is when people buy this property in areas such as Kitzbuhel, Andermatt, St Anton, Bienna, Munich, Hamburg or other top cities and tourist destinations, the expert remarked.

"Real estate in good locations is - next to blue chip shares and gold - the perfect security against inflation," he claimed, noting its value can grow by an average of three per cent a year in the best areas.

Generally, individuals purchase this kind of property because of its location, its high returns, "the guarantee and the security of the real estate", Mr Wuhrer declared.

Many hotels in the US and Europe are currently depressed and can be bought with large discounted rates, HOTELS magazine editor-in-chief Jeff Weinstein recently said.