EARN WHILE OTHERS SLEEP…..
THE UK HOTEL MARKET
The UK is set to see a boost in overseas tourism as a result of the weaker pound following last year’s EU referendum.
PwC expects growth in the first half of 2017 to build on from the strong sector performance at the end of 2016 driven by the fall in the pound and a more resilient than expected UK economic performance in 2016.
Occupancy remains high and is expected to grow 0.9% to 82% in 2017, while average daily rate (ADR) is set to increase 2.4% to £146. Occupancy is expected to increase a further 0.5% in 2018 with ADR set to increase 2% to £149.
In general, demand continues to outpace supply growth but supply continues to increase, this year is expected to see 20,000 rooms added to the UK hotel supply up from 16,000 in 2016. For the UK regions, overall hotel capacity could expand by 12,000 rooms in 2017, meaning a 2.4% net rise – one of the highest growth rates since 2008.
- From £60,000 per room
- 8% net rental return per annum
- 110% buyback at the end of year 5 – Income paid monthly
- Hands-off investment
- Zero ownership fees
- Successful branded business with established customer base
- Successful business with established customer base
- Adjacent to the new Peak Resort
- Refurbished rooms