TO DISCUSS YOUR PROJECT OR LEARN MORE ABOUT OUR SERVICES:

  • This field is for validation purposes and should be left unchanged.

JLL Hotel Investor Survey Highlights Less Appetite for Risk

Category: Hotels, Posted:15 Jun 2009 | 06:54 am

The recently released Jones Lang LaSalle Hotels "Hotel Investor Sentiment Survey" has concluded that investors have less of an appetite for risk and are actually raising return profiles to cover possible downturns. Average global cap rates for investors have now risen to 9.8% which is in increase by 100 basis points. Leveraged IRR's (internal rates of return) have not been pegged at 20.2% and are up 120 basis points. These are the largest increases since the surveys were started.
For new developments it's highlighted that stress in developed markets is expected to continue along with its focus on the banking systems hence capital or investments into developing countries such as Thailand are expected to remain at a substantially reduced level. A positive trend is that with little capital available there will be limited new green field projects, so that current supply and demand surplus's can be absorbed into the market at a greater pace.
According to the research most buyers at present are either owner/operators or private equity and real estate investment funds. The document notes that there is no real expectation for recovery over the next six months and that trading performance is expected to erode during this time. Closing the report out its noted that asset pricing remains a challenge, though transaction activity is expected to increase as some owners are becoming willing to meet buyer pricing thresholds.

Other News

Read more

Direct Bali Phuket Flights Return in Phuket

Category: Hotels|Tourism, Posted:14 Jun 2024 | 08:15 am The once popular Phuket Bali flight route will see AirAsia restart direct flights from 10th August 2024. AirAsia Indonesia will be the carrier and flight frequency will be three times a week. Bali hosted nearly 600,000 international visitors in May with Australia ranking 22.5% share, followed by India with 11.3% and China on the rise […]
Read more

Registration Open for Mind the Gap – Women & Diversity in Hospitality – A Learning Event

Category: Hotels|Tourism, Posted:13 Jun 2024 | 09:55 am Diversity, inclusiveness, and equality are core issues for the hospitality industry. C9 Hotelworks and the Phuket Hotels Association have organized a learning event titled ‘Mind the Gap, Women & Diversity in Hospitality on Saturday 31st August at the SAii Laguna Phuket. Join us in this unique, candid, and insightful half-day session that takes a closer […]
Read more

Samui’s Booming Villa Rental Marketed Featured in New C9 Hotelworks Report

Category: Hotels|Real estate, Posted:11 Jun 2024 | 07:04 am Standalone villas shake up traditional hospitality supply as the market rises. Increasing demand for multi-bedroom accommodation growing, coupled with a preference for spacious and private villas according to new research from C9 Hotelworks in their new Samui Villa Rental Market Review. In recent years, private villas rented as vacation homes have emerged as a significant […]
SiaJai logo

Thailand's Leading Homecare Marketplace