According to international real estate advisor Savills investor interest in the Norwegian hotel market is on the rise, following a flurry of activity totalling over €650 mln on since 2012.
Savills finds that all 26 hotels transacted since 2012 were purchased by Norwegian investors. This differs from other commercial property sectors in Norway with 40% of property in Q1 2015 bought by foreign investors.
Savills notes that the sale of the Quality Expo, Fornebu for €56 mln in June 2014 attracted interest from international parties but in the end was secured by Norwegian investor Pareto.
Trond Sejersted Bødtker, head of investment at Savills associate Heilo Eiendom in Norway, comments: “Over 26 hotels were sold in the last three years, much stronger than the three years previous. We expect this to continue as the Norwegian property market continues to recover. However, the sector remains dominated by domestic investors, with international investors yet to make inroads.”
Source: Savills UK