For a comprehensive review of the Europe market, click below:
HVS In-Depth Europe Hotel Valuation Index:   2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | 2014 | 2013 | 2012 | 2011 | 2010 | 2009 | 2008 | 2007 | 2006 | 2005 | 2004 | 2003 | 2002 | 2001

In 2023, Rome ranked as the fourth-most-visited city in Europe and the country’s most popular tourist attraction. It is also the seat of several United Nations agencies. Key economic sectors in Rome are tourism, industry (oil and gas) and fashion. It is the fourth-most-important fashion centre worldwide and the home of the European ‘Hollywood’, Cinecittà Studios. Within Rome’s 1,285 km² area and population of 2.7 million (2023) lies Vatican City, the only existing example of a country within a city and the seat of the Pope, thus attracting large numbers of religious tourists. As per the ICCA, in 2019, Rome was 13th in the European ranking of organisers of exhibitions and congresses, up from 22nd in 2018. After the pandemic in 2022, the city regained its historical position as 13th in the ICCA’s European rankings. Rome is served by Rome Fiumicino (Leonardo da Vinci) International Airport where international passenger movements increased at a compound annual rate of 4.5% from 2009 to 2019. The 2023 figure shows a 38% increase in passage traffic over the previous year, reaching 41 million, a marginal 7% below pre-pandemic levels.

Rome’s hotel supply increased at a compound annual rate of 1.7% from 2012 to 2020. In 2023, four-star hotels dominated the offering by ‘number of hotels’ (19%), followed by five-star hotels (8%). In terms of room supply, four-star hotels have the largest capacity, providing 50% of Rome’s total rooms. The Rome hotel market is expected to grow by around 1,800 rooms (or 3.9% of the current hotel room supply) over the next few years, with a number of brands gaining a presence in the market. Some of these include the 60-room Corinthia Rome (March 2024); the 157-room Rosewood Rome (June 2024); the 165-room Ruby Hotel Rome (March 2025); and the 259-room Courtyard by Marriott Rome Fiumicino (January 2026). Overall, the Rome market has steadily improved its luxury offer over the last few years, which is a positive development for a market that is heavily geared towards leisure demand.

Marketwide occupancy pre-pandemic oscillated around the 70s mark. Average rate increased at a compound annual rate of 2.5% from 2014 to 2019, signifying a generally modest inflationary RevPAR CAGR of 1.1%.  After Covid, Rome showed continued recovery in 2022, with demand volumes back to 80% of 2019 levels and solid average rate growth that placed RevPAR just above 2019 figures in nominal terms. In 2023, demand fully returned to historical levels of over 70%, along with 20% growth in average rate over the previous year. This resulted in record RevPAR levels of around €170, the highest for this market, a substantial one third increase on historical performances, in real terms. Rome’s strength lies in it being a strong leisure destination, in a stable country, with significant qualitative appeal. Its dependency on international visitation (circa 60% of arrivals in 2019) was one of the reasons for its strong performance in 2022 and 2023, as US visitation to Rome is key.

Given the post-pandemic investor interest in Italy (and Southern European markets in general), the level of transactions in Rome remains somewhat low. Two hotels were sold in 2021 (down from three in 2020 and eight in 2019) and a further five hotels were sold in 2022: the 57-room Hotel Alexander (undisclosed amount), the 162-room W Rome (€172 million), the 100-room Hotel Majestic, the 181-room Giustiniano Imperatore and the 75-room Hotel Guilio Cesare, for which the transaction prices were not published. In 2023, the transaction volume significantly decreased with only one property trading hands: the forward sale of the 96-room Six Senses, sold for a reported €245 million (€2.6 million per key).

Rome’s hotel values increased by 1.7% in 2023, as per our HVI analysis, recovering at a similar rate to Milan. This is almost a fully recovered value, only around 4% below 2019 levels.

ADR, Demand, Occupancy, RevPAR, and Supply Projections:

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Change In Value For Market: (€Euro)

Rome RevPAR Change (€Euro)

Rome RevPAR (€Euro)

For more information, please contact:

	Sophie Perret, MRICS, MBA Managing Director [email protected] +44 0 2078787722 (w) +44 0 7725781037 (m)
	Julia Dzerkach Associate [email protected] +44 0 2078787742 (w) +44 0 7912240964 (m)
	Clemence Sennavoine Associate [email protected] ++44 0 7736273439 (m)