Europe -  Hamburg, Germany

Hamburg, Germany’s second-largest city, is a leading centre for radio and television broadcasting and film production, an important transport hub and a leading player in the aviation industry. The city is also home to the largest port in Germany, the third-busiest in Europe. Hamburg benefits from a strong mix of corporate, leisure and MICE demand. The Hamburg Messe and the Congress Centre Hamburg (CCH) together host hundreds of events each year, focusing on trade fairs relating to the shipping and maritime industry as well as medicine and pharmaceuticals. The CCH was one of the first dedicated conference centres in the country. The venue closed for refurbishment at the beginning of 2017 and it has had a negative impact on the MICE market, which is expected to last until its reopening, scheduled for the beginning of 2020.

An increasing number of leisure visitors are attracted to the city owing to its wide range of cultural and architectural attractions. In addition to various museums, great shopping facilities, several theatres and a vibrant nightlife along the Reeperbahn, tourists are attracted to the historic warehouse complexes in the Speicherstadt and the new Elbe Philharmonic Concert Hall in HafenCity, in the grounds of Hamburg’s biggest redevelopment site which is considered to be one Europe’s largest inner-city developments. These attractions and the accessibility of the city have led to Hamburg becoming an attractive city break destination.

Growth in visitation to Hamburg has been strong for the past decade and 2018 was no different, with another increase of around 6%. While the continued strong demand for accommodation has allowed the hotel market to absorb the new supply entering in 2016 and 2017 and to record healthy RevPAR growth in both years, the additional recent openings combined with the closure of the CCH resulted in a slight decrease in RevPAR in 2018.

The city of Hamburg witnessed a number of openings in 2018 and its pipeline remains substantial, which is similar to other key cities in Germany. Notable projects include the 261-room NH Hamburg Zentrum (2021), the 210-room InterCity Hamburg (2020), the 236-room NYX Hamburg and a number of budget hotels. We also note the rebranding of the Hotel Atlantic Kempinski Hamburg to Autograph Collection, which is scheduled for the beginning of 2021.

Hamburg had Germany’s highest volume of individual property transactions in 2018 with a total of eight single hotels exchanging hands, including the Reichshof Hamburg, Curio Collection by Hilton which transacted in October 2018 for €100 million (€360,000 per key). This was the third highest per-key transaction in Germany for the year. Other recent transactions include the proposed 184-room ibis Styles Hamburg-Barmbek in July 2018 and the 107-room Novum Belmondo. Overall, Hamburg recorded a 2.5% decrease in hotel values in 2018.

Change In Value For Market: (€Euro)

Legend
Significant Value Increase: Greater than +10%
Moderate Value Increase: Between +3% and +10%
Stable Values: Between -3% and +3%
Moderate Value Decline: Between -3% and -10%
Significant Value Decline: Less than -10%

Hamburg RevPAR Change (€Euro)

Hamburg RevPAR (€Euro)

For more information, please contact:

Sophie Perret, MRICS, MBA
[email protected]
  • +44 20 7878 7722 (w)
Magali Castells
[email protected]
  • +44 20 7878-7710 (w)
  • +44 7 850205149 (m)