Investors have traditionally viewed Canada as a safe, reliable investment outlet on the international real estate stage. Vancouver in particular has been at the forefront of global capital flows, and the city’s economic growth and strengthening hotel fundamentals suggest that it will emerge as a standout for hotel investors in 2017.
JLL’s recently launched Vancouver Lodging Market Report analyses the city’s economic indicators and hotel performance metrics to understand what the future holds for British Columbia’s largest city.
Key insights include:
- Compared to the top-performing markets in North America, Vancouver led the pack in revenue per available room (RevPAR) growth in 2015 and, as of September, ranks third year-to-date.
- Vancouver is a high barrier to entry market and has seen limited supply increases over the past two decades. Despite three luxury hotels under construction in the downtown area, the market is expected to absorb the new supply.
- Commercial investment activity in Vancouver hovered around $3 billion between 2012 and 2014. In 2015, the city saw just under $5 billion in activity, and volume has already eclipsed $4 billion in 2016.
To learn more about Vancouver’s lodging market, download the report here.