Cape Town - About 50% of all African countries saw hotel values rise at a greater rate than any other property investment class over the last years, according to David Harper, head of property services for Hotel Partners Africa, a hospitality consultant for sub-Saharan Africa.
According to Harper, the African Hotel Report 2017 will be launched at the Africa Hotel Investment Forum (AHIF) in Kigali, Rwanda, in October.
This biennial publication is a comprehensive report regarding the hotel market in Africa, covering 44 countries. It analyses how hotel values have changed across the continent, as well as reporting on key trends.
Some of the highlights of this report are that 75% of all countries have seen increases in the value of hotels over the last two years. The average growth in hotel values across the continent over the last two years was 6.4%.
The report also found that Africa still has a shortage of branded bedrooms with only 134 bedrooms per million people, compared with 4 325 per million across the Americas or 2 533 across Europe.
Ten countries saw hotel values grow by 8% per annum or more over the last 8 years.
The report is a country by country guide, discussing the main hospitality trends and investment opportunities. It will rank the countries by value of hotels, as well as by annual change in values, on a country by country basis and on a region by region basis.
“This report shows that the hotel industry in Africa is still a very good investment, despite the cyclical nature of the property market," said Harper.
"However, good advice is vital to help ensure you make the most of this very promising investment opportunity and avoid some of the potential pitfalls that can ensnare the less experienced hotel investor."
Jonathan Worsley, chair of Bench Events, which organises AHIF, regards the report as essential reading for anyone contemplating investing in hotels in Africa.
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