2025 Review and 2026 Outlook for Hotel Investment in France: Hotel Investment Trends 2026
Market analysis, investment dynamics and opportunities looking ahead to 2026
Reading Time: 6 Minutes
Key Takeaways
Quick Facts About the Article
expected for RevPAR in 2026 across major French metropolitan markets
of hotel transactions carried out by private investors
invested in the French hotel sector in 2025
In Brief
In This Article
After two years of profound market reshaping, 2025 confirmed the gradual return of investors to the French hotel sector. In a context of still-elevated but stabilising interest rates, a solid tourism recovery and a shift in usage patterns, hotels are once again emerging as a resilient and strategic asset class.
For investors, lenders and family offices, the challenge is no longer simply to invest, but to invest better: asset typology, positioning, operations and value creation. As 2026 approaches, Moon Hospitality offers a data-driven and operational perspective on hotel investment trends for 2026.
1. 2025 Review: a selective yet structuring recovery
Rising volumes, driven by targeted assets
In 2025, hotel investment volumes in France are estimated at between €2.2 and €2.5 billion, up compared to 2024 but still below pre-Covid record levels. Nevertheless, this recovery is qualitative in nature.
Transactions were concentrated on:
- Well-positioned urban hotels (3-star and 4-star)
- Assets with repositioning potential
- Prime destinations (Paris, major metropolitan areas, established tourist destinations)
Investors favour clearly positioned projects, with a well-defined strategy for upgrading or hybridising uses.
A market dominated by private investors
Unlike previous cycles, 2025 saw a strong presence of:
- private investors and family offices
- integrated hotel groups
- club deals
Institutional investors remain cautious, constrained by the cost of capital, while more agile players are taking advantage of emerging windows of opportunity.
The return of operations to centre stage
The year 2025 confirmed a structural shift: hotel operations have once again become central to investment decisions. Operational performance, guest experience, differentiation and cost control are now inseparable from real estate value.
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2. Hotel investment trends 2026: the key signals
Clear value-add and repositioning strategies
The most significant hotel investment trend for 2026 remains the repositioning of existing assets:
- targeted renovation rather than new construction
- change of category or concept
- creation of differentiated experiences
At Moon Hospitality, these strategies make it possible to create medium-term value while keeping risk under control.
Hybridisation of uses and new revenue streams
Projects combining multiple functions (accommodation, food & beverage, coworking, events and local experiences) are highly attractive to investors. This hybridisation allows:
- to increase overall RevPAR
- to smooth seasonality
- to attract a local customer base in addition to travellers
In this regard, our analysis of hybrid hospitality perfectly illustrates this dynamic.
Growing importance of sustainability…
In 2026, sustainability is no longer a marketing argument but a value driver:
- reduction of energy costs
- increased banking attractiveness
- regulatory compliance
Projects that incorporate a realistic and measurable CSR approach benefit from a clear competitive advantage.
3. 2026 outlook: opportunities and caution
Where to deploy hotel capital in 2026?
2026 Outlook: Opportunities and Caution
The outlook for 2026 is broadly positive, provided that:
- maintain discipline on acquisition pricing
- integrate realistic financing assumptions
- anticipate customer and regulatory expectations
Opportunities are particularly concentrated in independent hotels with strong transformation potential, located in major cities and dynamic secondary destinations.
The 2025 review confirms that the French hotel sector remains an attractive asset class, provided a strategic and operational approach is adopted. Hotel investment trends for 2026 point to a more mature and selective market, yet one that remains rich in opportunities for well-supported investors.
Moon Hospitality’s analysis
Key levers to manage risk and performance
For 2026, we identify three key levers to secure a hotel investment:
- A detailed understanding of guest behaviours and customer segments
- An operational strategy designed from the acquisition stage
- Active post-opening asset and operational management
Hotel investment is no longer limited to the acquisition of an asset, but extends to the creation of a comprehensive project, combining real estate and operations.
Discover our approach on the Invest with us page by Moon Hospitality.
