2025: the ideal year to invest in hospitality
The unique opportunities offered by hospitality in 2025
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Key Takeaways
Quick Facts About the Article
in average revenue per room (RevPAR) from 2023 to 2024
billion in hotel transactions in the first half of 2024 in Europe
in hotel revenue between 2023 and 2024
In Brief
In This Article
After several years of economic and social upheavals, 2025 is shaping up to be a pivotal year for the hotel sector.
Between the recovery of tourist demand, the rise of hybrid concepts, and the evolution of traveller expectations, investing in hospitality has never offered so many strategic opportunities.
For savvy investors, this is the ideal time to turn capital into lasting value while riding positive trends where profitability and innovation go hand in hand.
1. Why invest in hospitality in 2025 ?
Rising performance indicators
The global hotel market is now seeing occupancy rates comparable to, and sometimes higher than, those observed before the health crisis. In France, the momentum relies on a powerful dual engine. On the one hand, international tourism continues to play a central role, drawing millions of visitors to Paris, major cities, and regional destinations.
On the other hand, local customers, driven by a growing desire for unique experiences, are increasingly opting for short stays and “staycations.”
From a financial perspective, the outlook is attractive. Data from INSEE and specialised firms estimate the gross yield of prime hotel assets between 5% and 8%, depending on location and positioning. Beyond immediate returns, asset revaluation offers considerable potential: many ageing properties can be renovated or repositioned to generate significant resale gains or a substantial increase in revenue.
Finally, in an uncertain economic context, hospitality stands out as a resilient asset class, less exposed to volatility than other tertiary segments, while offering valuable diversification for an investment portfolio.
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2. The trends shaping hotel investment
Personalisation as a loyalty driver
Sustainability and local integration are also at the heart of winning strategies. Travellers are increasingly attentive to establishments’ environmental commitments and their connection with the surrounding community. Partnerships with local producers, the use of short supply chains, waste reduction, and the achievement of eco-certifications are all levers to attract a conscious and demanding clientele.
Sustainability and local anchoring are also at the heart of winning strategies. Travellers are increasingly attentive to establishments’ environmental commitments and their connection with the surrounding community. Partnerships with local producers, the use of short supply chains, waste reduction, and the achievement of eco-certifications are all levers to attract a conscious and demanding clientele.
Finally, the personalisation of the guest experience is witnessing unprecedented growth, driven by advances in artificial intelligence and data. Hotels capable of tailoring every stage of the stay — from booking to check-out — to the specific preferences of their guests create a strong emotional connection and build customer loyalty. In this rapidly evolving landscape, boutique hotels and lifestyle concepts, relying on a strong identity and bespoke service, particularly capture the attention of travellers seeking authenticity.
3. Concrete example: from renovation to successful repositioning
The example of Maison Mère, by Moon Hospitality
The transformation of a standard 3-star hotel into a 4-star lifestyle property perfectly illustrates the potential for value enhancement. This repositioning can lead to a 20% to 40% increase in RevPAR (revenue per available room), thanks to upgraded services, strong storytelling, and an immersive experience offering.
The addition of differentiating elements such as a signature bar, cultural partnerships with galleries or local artists, and regular events helps diversify revenue streams. This approach reduces reliance solely on room occupancy and creates a more lasting relationship with guests.
This is exactly the strategic choice made with Maison Mère, the first project by Moon Hospitality. Formerly a classic 3-star hotel in Paris’s 9th arrondissement (Hôtel de l’Océan), it was completely redesigned and repositioned as a 4-star lifestyle urban resort. The property now combines accommodation, gastronomic dining (Nectar), a signature bar, convivial spaces, and cultural programming. The result: an upscale transformation that has not only enhanced operational performance but also earned Maison Mère strong recognition.
Notably the Best of the Best TripAdvisor 2024 award, proof that hotel repositioning can generate both financial value and emotional capital.
Moon Hospitality’s support to achieve a hotel investment in 2025
Support in a consolidating market
Our conviction is clear: properties that combine local integration, a strong experiential offering, and operational performance outperform the market. Projects incorporating a sustainable and responsible dimension also benefit from an average 4.8% premium on their valuation, according to Cushman & Wakefield data.
Thus, for investors, 2025 is not just a year of recovery: it is a strategic window to acquire, transform, or reposition a hotel asset, while capitalising on sustainable trends and a rapidly evolving demand.
Want to know more? Contact contact@moonh.co to discover our various projects.
