CBRE tips

Hotel chains are doubling down on loyalty programs, and the strategy appears to be paying off. A CBRE report shows these plans drive occupancy growth for major groups like Marriott and Hilton, even as the programs evolve beyond catering solely to road warriors.

Real estate services company JLL estimates that by the end of this year, hotel transactions in India will amount to a total of $413 million. Last year, the industry saw investments worth $401 million.

The global hotel industry is experiencing varied performance across regions in 2024, with some markets thriving while others struggle.

STR and Tourism Economics lowered their forecast for U.S. hotel demand growth this week. The benchmarking firms now project a more modest 2.1% increase in average daily rates this year — down from the previous estimate of 3.1%.

CBRE’s latest forecast indicates a rebound in RevPAR growth to 3% for H2 2024, following initial sluggish performance. Supported by rising international tourism and limited supply, the outlook remains optimistic despite economic challenges.