HTLroundtable Italy+ snapshot 2017
28 Feb 2017
The Excelsior Hotel Gallia Milan, 16 February 2017
The Excelsior Hotel Gallia Milan was this year´s venue for the HTLroundtable Italy, the annual hotel development meeting hosted by PKF hotelexperts. Giorgio Bianchi, Director Italy of PKF hotelexperts and host of the half-day conference: “2017 seems to be a very promising year for the Italian hotel market, based on the discussions we had with 45 hotel professionals during an interesting afternoon at the HTLroundtable Italy on 16 February 2017 at the Excelsior Hotel Gallia in Milan”.
Both the tourism and hotel sectors are giving positive signals. Based on figures shown by Marco Malacrida, STR, Milan and Rome compete well with other European destinations showing occupancy rates above 65 % and average net room rates above € 140; the positive outlook for Milan and Rome as well as Italy in general was also confirmed by representatives of leading international hotel brands, including Best Western, Choice, Hilton, Marriott, Meininger, Motel One and Melia Hotels International, who attended the meeting.
Giovanna Manzi, CEO of Best Western Italy, reported a 9 % increase in reservations on the books for 2017 compared to the
same time of the year in 2016 for the 160 Best Western hotels in more than 100 destinations across Italy.
When looking at the Milan market, there is strong potential to further grow demand and improve key performance indicators by attracting leisure-driven demand on weekends, when the city still shows a high compression rate compared to weekdays.
Local and foreign investors, developers and operators are seeking opportunities to enter the Italian market. Hotel developers however state that new developments are hampered by excessive real estate and land prices as well as bureaucratic challenges which result in rather long development cycles, compared to other European cities.
Alessandro Belli, Head of Tourism Real Estate CDP Investments SGR, manages a € 3.8 billion plan for investments in real estate, with a special focus on the tourism sector. The plan has the aim of boosting the growth of national and international hotel chains in Italy, based on the separation of ownership and management.
The Italian hotel transactions market in 2016 showed a strong interest from international investors, especially from the Middle East, for trophy assets in the key cities such as Rome, Milan, Venice and Florence.
The HTLroundtable conference, which is by invitation only, was concluded with a dinner reception on the roof top terrace of the five-star Excelsior Hotel Gallia which was fully refurbished and repositioned in 2015, with a stunning view over the historic building of the main central station in Milan.
Giorgio Bianchi: “I very much look forward to continue the discussion on how to improve the investment climate in Italy for hotel developers during our next conference Tourism Investment on 4 and 5 April 2017 in Milan”. Tourism Investment is the first event in Italy dedicated to the world of investments in the tourism sector. Further information may be found at www.tourisminvestment.it
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