Spain’s Hotel Investment Market Reaches Near-Historic Highs: Opportunities Across the Hospitality Spectrum

A Record-Breaking Year for Hospitality Investment in Spain

Spain once again confirmed its position as one of Europe’s most attractive hospitality investment destinations. In 2025, hotel investment volumes reached approximately €4.275 billion, representing a 28% year-on-year increase and marking the second-highest annual figure ever recorded in the Spanish market.

This performance reflects not only the recovery of tourism fundamentals, but also a deeper structural confidence in Spain’s long-term hospitality ecosystem. International capital, institutional investors, family offices, and specialized hospitality funds all remained highly active, targeting a wide variety of hotel typologies and locations.

Rather than being driven by a single segment or geography, the market demonstrated broad-based strength, spanning resort destinations, urban centers, and emerging secondary markets.

What Drove Hotel Investment Growth in 2025?

1. Strong Transaction Activity and Market Liquidity

Nearly 200 hotel-related transactions were completed nationwide during the year. These included:

• Fully operational hotels

• Buildings acquired for conversion to hotel use

• Assets purchased for repositioning or brand upgrade

• Land acquisitions for future hospitality development

The volume of transactions highlights a highly liquid market where both buyers and sellers are finding alignment on pricing, risk profiles, and long-term strategy.

2. Preference for Operating Assets — With a Strategic Twist

The majority of capital was deployed into operational hotels, reflecting investor appetite for income-producing assets with proven performance. However, this trend does not suggest a purely conservative market.

On the contrary, many acquisitions focused on assets with clear value-add potential, including:

• Renovation and modernization programs

• Repositioning from lower to higher star categories

• Brand affiliation or operator replacement

• ESG upgrades and energy-efficiency improvements

This hybrid strategy — combining operational stability with upside potential — has become a defining characteristic of the Spanish hospitality investment landscape.

3. Geographic Diversification Beyond Traditional Hotspots

While the Balearic Islands and Canary Islands continued to attract a significant share of total investment volume, urban markets such as Barcelona, Madrid, and other major cities also recorded strong activity.

At the same time, investors increasingly explored secondary and emerging destinations, drawn by:

• Lower entry prices

• Less competitive acquisition processes

• Strong tourism fundamentals

• Opportunities to create differentiated hospitality concepts

This shift is opening new opportunities in regions traditionally underrepresented in large-scale hotel investment statistics.

The Evolution of Hotel Investment Strategies

The Spanish hotel market in 2025 was not only about scale — it was about strategy.

Investors are increasingly selective, focusing on assets that can be adapted to:

• Changing guest expectations

• Longer stays and blended leisure-business travel

• Digital nomads and remote workers

• Sustainability and ESG compliance

As a result, demand has grown for hotels that can be reimagined, rather than simply operated as-is.

This includes:

• Boutique hotels with strong identity

• Medium-sized assets suitable for repositioning

• Large resort complexes with expansion or category-upgrade potential

• Mixed-use or hybrid hospitality concepts

Andamara’s Position in the Market

At Andamara, we have been actively building and curating a comprehensive portfolio of hotel assets for sale across Spain, aligned with these evolving market dynamics.

Our portfolio currently includes:

• 3- to 5-star hotels

• Assets with or without existing operators

• Boutique hotels and independent properties

• Medium and large hotel complexes

• Hotel chains and multi-asset portfolios

• Hotels suitable for renovation, repositioning, or full transformation

We work closely local partners to identify assets that offer not just real estate value, but strategic hospitality potential.

Rather than acting purely as intermediaries, we focus on understanding:

• The asset’s current operational reality

• Its repositioning or upgrade potential

• The most suitable investor profile

• Long-term value creation strategies

Almería: A Strategic Market with Local Advantage

Being based in Almería gives Andamara a unique and highly valuable perspective.

Almería remains one of Spain’s most under-the-radar hospitality markets, despite offering:

• Strong year-round tourism fundamentals

• A combination of coastline, nature, and urban appeal

• Competitive pricing compared to more saturated regions

• Growing interest from international buyers seeking authentic destinations

Thanks to our local presence, we have direct access to assets in Almería and the surrounding region, including:

• Coastal hotels

• City hotels with repositioning potential

• Assets suitable for renovation or category upgrade

• Off-market opportunities not publicly advertised

This proximity allows us to provide deeper due diligence, realistic market insights, and tailored investment strategies for buyers considering this emerging market.

Looking Ahead: 2026 and Beyond

The strong performance of hotel investment in 2025 sets a solid foundation for the years ahead. While market conditions will continue to evolve, several themes are expected to remain central:

• Continued interest in operational assets with upside

• Focus on sustainability and ESG compliance

• Growth of lifestyle, boutique, and hybrid hospitality concepts

• Increased attention to secondary and emerging destinations

For investors, this environment offers both stability and opportunity — provided the right assets and partners are in place.

Partner with Andamara

Whether you are:

• An investor seeking hotel assets across Spain

• An owner considering the sale or repositioning of a hotel or any other asset

• A group exploring expansion, renovation, or operator strategy

Andamara offers market knowledge, strategic insight, and access to a curated portfolio of hospitality assets nationwide — with particular strength in Almería.

📩 Contact us for information and tailored hospitality investment opportunities.

info@andamara.com

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