If the world of real estate is in crisis, there is one sector that is doing surprisingly well: the hotel industry. “ No one expected such a rapid rebound after Covid-19”says Olivier Petit, director of the consulting firm specializing in hospitality In Extenso. “At the moment, the hotel industry is a kind of Eldorado”confirms Frédéric Josenhans, president of Grape Hospitality, a group which owns around a hundred hotels.
Once perceived as a “niche”, these real estate assets are, in the current context, at the center of the game. “Investors are flocking to hotels, because it is one of the few real estate sectors that is resilient. Next to it, office and residential are falling apart. Same for retail [commerce de détail] », summarizes Mr. Petit. Thus, despite the increase in the cost of credit, the hotel stock should continue to grow. In France, 125 new hotels (16,000 rooms) should open by 2026, according to the annual study by KPMGmade public in October.
And yet, since the start of 2023, there have been slightly fewer customers than in 2019, the reference year, before the pandemic. If the Americans have returned to France, the Asian clientele is no longer there. As for business travelers, there are fewer of them than before the health crisis. “Practices have changed. Executives move less »explains Stéphane Botz, hotel industry expert at KPMG.
However, due to lack of stock, establishments have largely caught up on prices: the average room rate has increased by 11% in one year, and even by 26% if we compare to 2019, according to the monthly figures from the MKG firm. This means that RevPAR, the key indicator in the sector, which measures profitability per room, has significantly increased. From January to October 2023, this is up 16% compared to the same period in 2022, and even 22% compared to 2019.
“A real revolution in terms of attendance”
“These good performances affect all hotel categories, from the most economical to the most luxurious”, declared Sylvie Bergeret, of MKG, during a forum dedicated to investors, at the beginning of November. Thus, in the 2,000 establishments in the Logis network, overall turnover is up 19% over one year, indicates Karim Soleilhavoup, the director of this federation.
The practice of “bleisure” (from the English business And leisurea mixture of “teleworking” and “vacation”) has enabled hotels to extend lengths of stay and attract new audiences. “This is particularly true across the entire Atlantic coast, which is experiencing a real revolution in terms of attendance. People come from Thursday, and go on long weekends all year round”comments Stéphane Botz, of KPMG.
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