Excitement is building in Milan as the 2026 Winter Olympics is set to take place Feb. 6-22.
While the market is likely to experience the same uplift seen in other mega‑event host cities, Milan’s Olympic year will be shaped by several unique factors that sets it apart from past hosts.
The Games are split between Milan and Cortina d’Ampezzo, with the former hosting the popular opening ceremony, as well as ice events. Additionally, upgrades to public transportation services will allow travelers to take day trips to various Olympic sites outside the city.
Early booking impact
Hotel occupancy on the books is pacing well ahead of 2025 levels, which is to be expected. Notably, the impact begins to materialize as early as late January, with official delegations and media arriving ahead of the event’s formal start.
Limited supply growth, higher occupancy gains
Milan is a midsize hotel market compared to previous Winter Olympics hosts, with 14,000 fewer rooms than the South Korea Regional submarket — where the 2018 Pyeongchang Games were held — and 8,600 more rooms than the 2010 host Vancouver. Milan is also remarkably stable in hotel supply, with just 1.4% average annual supply growth over the past three years.
Limited supply growth ahead of major events isn’t unheard of — Vancouver supply trended similarly ahead of the 2010 Games — but it is less common. Many markets, including South Korea Regional ahead of 2018 Pyeongchang, ramp up new-build hotels ahead of hosting mega-events.
Limited new supply will help lift occupancy levels as official and tourist demand floods the market this February.
Forecasts show Milan’s February 2026 occupancy will reach 77.9% — which would be its highest February occupancy level on record — representing an 8.2% increase in the metric year over year. The Olympics aren’t the only event propelling February occupancy, however. The Milano Women’s FW2026 Fashion Week kicks off two days after the closing ceremony.
The market remains firmly in the middle relative to prior Olympic host market occupancy levels. Vancouver topped the charts with 86% occupancy in February 2010, while South Korea Regional struggled to incorporate new supply and reported 48% occupancy in February 2018.
Accessibility plays a role in market demand as well, with Milan easily accessible via train within Europe and through three major airports serving short-haul, long-haul and budget travelers, respectively.
ADR growth to steal the show
While Milan's hotel occupancy aims to impress during the Olympics, large event impacts are often concentrated in average daily rate. Milan is no different in this regard, with February 2026 ADR expected to rise 48.1% relative to 2025.
Olympic ADR impacts are usually limited to the event month, with little to no change in rate growth trends in shoulder months. The Paralympic Winter Games have historically had little impact on hotel performance.
Within the Games, the highest ADR levels and growth rates are reported over the first few and last few days, coinciding with the opening and closing ceremonies. While the 2026 closing ceremony will be held in Verona, high-speed trains make for a quick and easy trip from Milan.
Milan is secretly a 'sports city'
While Milan may be best known as Italy’s fashion capital, it’s no stranger to major sporting events. The market plays host to the fifth oldest grand prix race, the Formula 1 Italian Grand Prix, in late summer each year.
The 2025 F1 race provides some additional insight into how major sporting events perform in the market, as the race shifted from the last weekend in August 2024 to the first weekend in September 2025.
ADR jumped 14.1% for the month — an impressive feat considering the 2024 events calendar — which included two medical congresses and F1 on Sunday, Sept. 1.
The 2025 race, held from Sept. 5-7, helped push Milan's September 2025 ADR to an all-time high at €289.48. Hoteliers can expect to break that record next month, with market rates set to reach €300.42 in February.
A variety of factors, including limited hotel supply growth and improved public transportation — along with Milan’s status as an international gateway market — should help the market achieve gold at the 2026 Milan Cortina Winter Olympics.
Kelsey Fenerty is manager of analytics at STR. Paulina Golec is a London-based data analyst for STR.