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HVS In-Depth Europe Hotel Valuation Index:   2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | 2014 | 2013 | 2012 | 2011 | 2010 | 2009 | 2008 | 2007 | 2006 | 2005 | 2004 | 2003 | 2002 | 2001

With a population of approximately 3.6 million as of the 2022 census, Berlin stands as Germany’s largest city, sprawling across an area nearly nine times the size of Paris. Celebrated as a global hub of knowledge and culture, Berlin is home to world-renowned institutions such as Humboldt University, the Berlin State Opera, and a wealth of iconic landmarks including the Brandenburg Gate, the UNESCO-listed Museum Island, and the East Side Gallery—the longest preserved section of the Berlin Wall, now transformed into an open-air gallery.

One of the most multicultural cities in Europe, Berlin hosts residents from over 190 nationalities and enjoys international acclaim for its vibrant festivals, contemporary architecture, avant-garde arts scene, buzzing nightlife, and sporting events. Known for its liberal lifestyle, urban eclecticism and artistic freedom, Berlin is also a major hub for startups, technology companies, and academic research.

Up to 2019, the city witnessed impressive growth across tourism metrics—visitation, airport traffic, and hotel performance all rose steadily. The opening of Berlin Brandenburg International Airport (BER) in 2020 further bolstered the city’s connectivity, and by 2024, BER had become Germany’s third-busiest airport after Frankfurt Airport and Munich Airport, serving around 25.5 million passengers.

The city benefits from a strong MICE market, but its largest segment is leisure guests. The city’s youthful, international appeal is amplified by its concentration of students, creatives, and entrepreneurs.

In the years leading up to the COVID-19 pandemic, Berlin’s hotel occupancy consistently hovered in the high 70% range, while rate growth had begun to decelerate. Despite a steady increase in hotel supply—rising at a compound annual growth rate of 2% between 2016 and 2019—the market successfully absorbed this expansion thanks to strong and growing demand.

While the COVID-19 pandemic temporarily disrupted performance, the market began rebounding in summer 2022. That year, RevPAR nominally recovered to about 90% of 2019 levels. In 2023, average daily rates (ADR) fully returned to pre-pandemic levels in real terms, though demand remained 5% to 7% below historic peaks. The recovery continued into 2024, bringing real RevPAR to within 3% of the 2019 benchmark, despite occupancy still lagging behind pre-pandemic levels. Notably, since 2019, Berlin has seen minimal additions to its hotel supply, contributing to a more balanced market environment during the recovery phase.

Looking forward, a notable wave of new openings is on the horizon. Roughly 6,000 new rooms—representing about 9% of current inventory—are expected to enter the market in the coming years, with 60% of these being independent properties. Key upcoming projects include the 200-room YAYS Berlin Liesenbrücke (June 2026), the 82-room Numa Berlin Mitte (Q2 2026), the 425-room five-star Estrel Tower hotel (summer 2026) and the 253-room Mövenpick Berlin Airtown (June 2027).

Following a slow year in 2023, only two hotels transacted in 2024. These included the acquisition in March of the 146-room Grand Hotel de Rome by Gruppo Statuto for approximately €145 million (€990,000 per key), and the sale of the 92-room B&B Hotel Berlin Potsdamer in June—part of the Covivio DE Hotel portfolio—for around €13 million (€138,000 per key).

As hotel performance steadily improved and borrowing costs declined, asset values in Berlin’s hotel market rose by 2.8% in 2024, effectively bringing values back in line with pre-pandemic levels.

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

ADR Change
Market Demand Change
Hotel Occupancy Increase/Decrease
RevPAR Change
Market Supply Growth

Change In Value For Market: (€Euro)

Berlin RevPAR Change (€Euro)

Berlin RevPAR (€Euro)

For more information, please contact:

	Sophie Perret, MRICS, MBA Managing Director [email protected] +44 0 2078787722 (w) +44 0 7725781037 (m)
	Tabitha Watkins Analyst [email protected] +44 0 2078787724 (w) +44 0 7562956921 (m)
	Margherita Rivetti [email protected] +44 0 278787754 (w) +44 0 7955271797 (m)