A total of 3.75 billion euros worth of investments were poured into the hotel sector in Spain in 2017. The figure is an exponential 83% increase to the year before and reflects the incredible draw the country has as a year-round holiday destination.
According to recent data by the Spanish Hotel Association, the regions that gained the most attention from investors in 2017 were the Canary Islands with a 21% increase in investment, the Balearics with an 18% rise in demand, Madrid with a 17% rise and Malaga, on the Costa del Sol, with a 15% increase in investments.
The city of Malaga has gained significant global attention in recent years. Starting with being named as 1 of 52 Places to Go in 2016 by the New York Times, the city centre has seen significant improvements to its infrastructure, transport links, and both cultural and gastronomic appeal. Savvy investors and hotel chains are already cashing in on the surge of global visitors pouring in to enjoy the regions climate, colourful history, architecture and nightlife, and has become more of a focal point to residents of the Costa del Sol than ever before.
The report by the Spanish Hotel Association further confirms the surge in demand for property and investment opportunities within the region, but also that the focus is on improving existing facilities and establishments. In Mijas Council, 1,900 new construction licenses were granted in 2017 (300 more than in 2016). However, of those, 1,600 licenses were for minor improvements to existing hotels and the remaining 300 are for major new projects.