The Czech hotel sector recorded €340 million in transaction volume during Q1 2025, representing 23% of total commercial real estate investment for the quarter, according to Savills. This figure nearly triples the entire 2024 hotel investment volume of €120 million.
Several major transactions drove this sharp increase, including acquisitions of Mama Shelter, Hilton, and Ramada Prague City Centre hotels. The Four Seasons purchase, set to appear in Q2 figures, marks another significant deal in this rapidly accelerating market.
This growth reflects broader European trends, where hotel investment reached €21.9 billion in 2024 – the highest level since 2019, showing a 47.6% year-on-year increase.
“We’re seeing strong investor interest in Czech hotel assets, driven by tourism rebound and favorable economic conditions,” said Vojtěch Wolf, Senior Investment Analyst at Savills.
Signals that the accommodation sector is making a comeback were already evident last year. Czech Inn Hotels bought the 160-room Wellness Hotel Step in Prague in a deal worth hundreds of millions of CZK. In that case, the company aims to leverage the property’s proximity to O2 arena by expanding its conference facilities.
In Ostrava, Purposia Group acquired the historic Kampus Palace student housing project (formerly Hotel Palace).
Savills notes improved debt markets are supporting this activity, with lenders showing strong appetite for the hotel sector. “The sector’s strong trading dynamics, underpinned by healthy occupancy rates and RevPAR growth, have reinforced lender confidence,” says Adi Gokal, Director of Savills Debt Advisory.
Richard Wilkinson (CTP): Sometimes you have to look beyond the noise
Branislav Jendek (108 REAL ESTATE): Investors have to look abroad for labor
