Press Review

December 2024: the real estate, tourism and hospitality press review

Last update : 6 January 2025

HoliProject presents its final press review of 2024. Through a selection of key updates, statements, and studies, we explore the news currently shaping the real estate, tourism, and investment markets. Topics covered this December include the performance of European tourism, the state of the office real estate market, and the new expectations of travelers, which compel the hospitality industry to adapt.

Tourism: Swiss Hotels Expected to Break Records in 2024

Swiss hotels experienced an exceptional year, with increased attendance projections and a promising summer season. According to the latest estimates, hotels could surpass the records set in 2023. Key drivers include the gradual return of international tourists, especially from the U.S. and Asia, combined with strong domestic demand. However, staff shortages and rising energy costs remain significant concerns for professionals in the sector. (24 Heures)

Tourism: Wellness Experiences on the Rise

Wellness tourism is experiencing impressive growth, with a 12% annual increase since 2020, according to the Global Wellness Institute. This market could grow another 52% by 2027. The reason? In Europe, nearly 30% of travelers seek to incorporate wellness experiences into their trips. “In a connected and stressful world, people increasingly feel the need to disconnect and return to a simpler way of life.” Who benefits from this trend? France, with its rich thermal heritage, remains a key destination but faces growing competition from Greece and Costa Rica. (La Tribune)

Real Estate: Investment Choices for REITs in 2024

In 2024, REITs adjusted their strategies to adapt to a transforming real estate market and increasing economic uncertainties. As a result, investments are refocusing on resilient tertiary assets, essential retail, and logistics. Secondary assets, deemed too risky, are being abandoned. Another significant trend is the strategic shift to reduce exposure to certain geographic areas, especially in Southern Europe, in favor of major cities in Northern Europe. Many REITs now favor an international stance. (Pierre Papier)

Hospitality: Fashion Brands Enter the Luxury Hotel Scene

L’hôtellerie de luxe devient un nouveau terrain d’expression pour les marques de mode, qui cherchent à offrir des expériences uniques, à renforcer leur branding et à séduire une clientèle aisée. La clé : des collaborations réussies et audacieuses avec des lieux d’exception, tels que l’Hôtel de Crillon ou le Château de Villiers-le-Mahieu, à travers des marchés de Noël et des pop-up stores. « L’hôtel est un terrain de jeu pour les marques, explique Roula Noujeim, Directrice de la communication de l’Hôtel de Crillon. L’ultra-luxe et l’ultra-personnalisation que nous proposons sont une véritable source d’inspiration pour elles ». (Fashion Network)

Investment: Renewed Interest in European Real Estate

Investors are turning their attention back to European real estate. “After two really difficult years, we’re finally seeing a turnaround,” says Ulrich von Creytz. How can this renewed interest be explained? On one hand, valuations are becoming more attractive in several major cities. On the other, there’s a gradual easing of certain economic tensions. As a result, high-quality offices, particularly in Paris and Berlin, are drawing attention. High-interest rates remain a challenge, prompting players to focus on resilient assets. (The Asset)

Tourism: Accor Group Bets on Augmented Hospitality

Accor is accelerating its focus on augmented hospitality to meet the new expectations of younger generations, eager for personalized and unique experiences. The concept: festive and event-focused venues developed by the Paris Society subsidiary, now a cornerstone of the hotel group’s strategy. This move aligns with Accor’s sustainable transformation, as its lifestyle segment, including brands like Delano and Mama Shelter, is growing two to three times faster than traditional brands. Margins are also 50% higher. (Les Échos)

Real Estate: The State of European Real Estate Markets

Jean-François Chaury of Advenis REIM reviews the condition of European real estate markets. First observation: transaction volumes are stabilizing and even trending upward. “We’ll remain cautious,” he says. “This potential improvement is mainly linked to the ECB’s lowered key rates.” Second observation: the trend varies across regions. Germany, the Netherlands, and the UK are recovering, while France lags. Final observation: peripheral offices struggle to attract new tenants, while centrally located offices remain attractive, with low vacancy rates and rising rents. (Pierre Papier)

Tourism: New Regulations Await Travelers

Significant changes await travelers in 2025 with new regulations in the UK and Europe. Among them: the introduction of a travel authorization system for non-Europeans (ETIAS) and a digital registry of entries and exits in the Schengen Area (EES). Unfortunately, these measures, designed to enhance territorial security, may lengthen border procedures. On the other hand, negotiations on new post-Brexit rules could simplify business travel between the UK and the EU. (BBC Travel)

Corporate Real Estate: La Défense Seeks Renewal

With office vacancy rates rising from 5% pre-pandemic to 14% in 2024, Paris La Défense faces a profound crisis. Property owners, dealing with 35% of the real estate stock becoming obsolete and rents insufficient to fund renovations, are offering aggressive commercial incentives to compensate. “Price competitiveness creates a vicious cycle of value degradation,” says Cédric de Lestrange of the Association of La Défense Users. To reverse this decline, ambitious projects are underway: transforming offices into housing, developing academic clusters, extensive greening, and pedestrianizing spaces. The goal: to make La Défense the world’s first post-carbon business district. (Les Échos)

Hospitality: A Lifeline for Real Estate?

Amid the crisis affecting commercial real estate in recent months, hospitality emerges as a resilient and promising sector. Thanks to solid performance since the pandemic, particularly in the luxury and lifestyle segments, investors are increasingly turning to this high-potential market. Reasons include high occupancy rates, rising average prices, and sustained tourist demand, especially in Europe. These factors naturally enhance the attractiveness of hotel assets, making them a safe haven for investors and a lever to compensate for declining profitability in other segments. (Décideurs Magazine)

Corporate Real Estate: Challenges and Adjustments in Île-de-France

In Île-de-France, office space rationalization continues, with a 9% decline in leased square meters in 2024. Key takeaway: demand is mainly concentrated in Paris’s inner city, accounting for half of all transactions. Meanwhile, the suburbs face a concerning increase in vacancy rates, reaching 29% in some areas, such as the northern inner suburbs. “The office market is facing two major structural shifts: the rise of remote work and demographic changes,” notes Christian de Kerangal, Director General of IEIF. (Les Échos)

Tourism: French Ski Resorts in Good Health

Despite inconsistent snow conditions, French ski resorts posted strong performance, with 51.9 million skier-days last season. France remains the second-largest global market, behind the U.S. Notably, the average occupancy rate is also improving. During winter, “occupancy rates surged, reaching well over 80%,” states Domaine Skiable de France. The only drawback: the aging real estate stock presents a major challenge, as 80% of accommodations are over 30 years old. (Le Figaro)

Tourism: The Rise of All-Inclusive Travel in Europe

The all-inclusive travel segment is experiencing significant growth and could permanently redefine tourist standards. Once limited to seaside resorts, this model now extends to more diverse experiences, such as mountain stays. The reason? Vacationers seek simplicity and authenticity. “We’re witnessing an upscale trend with culinary discoveries, personalized service, and luxury amenities,” explains Greg Schulze of the Expedia Group. For tourism players, these all-inclusive packages represent a new opportunity to retain demanding clients and maximize ancillary revenues. (Tendance Hôtellerie)

Investment: Banks Face Pressure on Real Estate Portfolios

European banks’ real estate portfolios are under growing pressure due to rising interest rates and deteriorating market conditions. Many banks are considering strategic adjustments, reducing their exposure to risky commercial real estate assets. This situation stems from declining valuations and an increase in non-performing loans, particularly in the office sector. These developments may prompt banks to accelerate the sale of underperforming assets, offering genuine investment opportunities to actors capable of absorbing the risk. (KPMG)

Date de première publication : 6 January 2025

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