The hotel real estate market in Kyiv shows a good growth trend for a long period of time. The exception was the months when martial law was introduced. For the current year, 800 new hotel rooms have been opened, and the cost of existing apartments has slightly increased.

Hotel real estate market: the segment’s review

Experts note the development of the market segment. Positive dynamics is associated with the popularization of the capital in the world, and as a result — an increase in the flow of tourists. In addition, over a short period, the geopolitical and economic situation in the country has improved significantly, which also contributes to the development of the hotel real estate market. Due to the emergence of new airlines and the expansion of routes, both external and internal tourist flows have increased.
According to the KSCA, last year Kyiv was visited by 1.93 million foreigners, and there were 3 million visitors from other cities of the country. A year before, 1.5 million foreign tourists were registered, overseas tourists. Most guests visited Kyiv from Israel, USA, Belarus.
All these factors contribute to the increase in demand in the hotel real estate market.
An analysis of the employment statistics of hotel rooms in the capital showed that 55% of the rooms are booked by domestic tourists, and 45% are for visitors from other countries. At the same time, people who came from various cities of the state prefer apartments in the middle and budget segment. Foreigners most often live inexpensive rooms.
Last year, new properties appeared in the hotel real estate market, some of which belong to well-known brands. The 4-star hotel of the Marriott International chain has opened, which has 310 comfortable rooms, the Ibis Kyiv Train Station, which accommodates 281 rooms. There are new names on the market that provide quality services. Completed the reconstruction of «Riviera House», which lasted quite a long time. In addition, various hotels held an expansion of the fund, which allows you to receive more guests.
According to experts, the entire hotel segment of the real estate market in Kyiv has expanded to 800 rooms.

This year, the resumption of part of the projects that were “paused” is expected; new objects are being built. Such is the hotel “Slavutich”, the reconstruction of which is scheduled for 2020. It is expected that the updated hotel will accommodate 400 rooms. Investors are willing to invest in the construction of new hotels, well-known brands are expanding their network in the country.
According to statistics, hotels of category 3 and 4 stars showed the highest occupancy; it was observed at the level of 55-65%. 5-star were in demand by 45-50%.
Over the past year, the cost of hotel accommodation has increased by about 6%.