Wall Street analysts who cover publicly traded hotel companies are entering the new year with some sense of optimism, but that outlook is largely in relation to the tough year hotels faced in 2025.
Real estate investment firm LondonMetric Property has acquired nine Premier Inn hotels in the United Kingdom from publicly listed hotel firm Whitbread PLC for £89 million ($120 million).
For another full year, single-asset hotel sales dominated the United Kingdom and Ireland transactions market, but there were some notable portfolio sales. Hotel industry experts are confident that 2026 will be a positive year for transactions, but macroeconomic trends and updates to the U.K. budget will give hoteliers some pause.
The new year has started off with a bang in London's hotel market as Mallorca, Spain-based RIU Hotels & Resorts has acquired the 494-room The Westminster, Curio Collection by Hilton for £290 million ($389 million), according to investment bank AHV Associates.
California saw a year-over-year increase in new hotel openings in 2025, but that’s a reflection of the projects nearing the finish line last year and not a sign of a new trend.
The mood of the hotel industry noticeably shifted through the course of 2025, and there might be no better barometer tracking that shift than the tone of commentary at major hotel industry events throughout the year.
For a year with major macroeconomic uncertainty, rising geopolitical tensions and other significant headwinds, the U.S. hotel transaction market did well, all things considered.
After a somewhat slower start to the year, the U.S. hotel industry saw several high-priced deals close in the last half of 2025, many of which were in or near the final months.
While 2025 isn't likely to go down in the history books as a great year for hotel transactions broadly speaking, Singapore-based City Developments Limited has continued to make deals.
