CBRE Expects To See Good Pipeline Of Irish Hotels Being Offered For Sale This Year
Commercial real estate services firm CBRE expects to see a good pipeline of Irish hotel properties being formally offered for sale in 2020.
The Irish Independent quotes John Hughes of CBRE as saying, "There were several unsuccessful under bidders on hotels sold last year who may bid again if suitable assets are brought to the market during 2020.
"Market conditions and the strength of appetite for the hotels traded in 2019 has focussed minds and should lead to some hoteliers making the decision to offer hotels to the market over the next 12 months."
Hughes anticipates that the majority of hotel sales in 2020 will involve single asset sales rather than portfolio purchases and that a number of this year's sales will be re-trades of properties that have been purchased in recent years.
Evolving Transaction Structure
Hughes believes that "demand for prime Dublin assets will be institutional in the main", and said, "Private investors and hotel groups will be more in evidence in provincial markets. We expect to see the structure of hotel transactions continuing to evolve, with assets increasingly likely to trade by way of forward sales or investment sales."
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