South west hotel market sees investment rise 60% in 2017 - Savills

23 January 2018

Investment into the south west hotel market reached a total of £399 million across 46 transactions in 2017, 60% above the levels recorded in 2016 according to Savills. The region accounted for 13% of the total UK volume of £5.4 billion.

The firm notes that activity was characterised by individual sales predominantly in the £1 million to £10 million bracket and over 66% of the total sales in the region were of single assets rather than portfolio transactions. The flow of the deals was steady throughout the year with just over  50% occurring in H2. Key transactions included the sales of The Duchy Hotel portfolio to Fairtree Capital for £12.5 million, the Palace Hotel, Torquay to the Fragrance Group for £7.5 million and Villa at Henrietta Park to Roseate Hotels & Resorts.

Martin Rogers, head of UK hotel transactions at Savills, comments: “The south west hotel market has had an exceptionally strong year driven by an influx of international investors underpinned by strong domestic demand for UK hotel assets. We expect demand from tourists to continue as the staycation continues to rise in popularity alongside overseas visits to the area, attracted by the outstanding coastline and the national parks of Exmoor and Dartmoor.” 

 
 

Key Contacts

Rebecca Allen

Rebecca Allen

UK PR Manager
Cross Border B2B Communications

Head Office London

+44 (0) 20 7409 8937