The number of hotel rooms in Bucharest will increase this year by up to 1,500 units (10%), following the inauguration of four big hotels, including new brands: Indigo (brought by Intercontinental), Courtyard (by Marriott), Autograph (by Marriott) and Corinthia Hotels International, shows an analysis of real estate consultancy company Colliers International.

The hotel industry in Bucharest enjoys a bullish episode favorable to expansion, as Romania holding the presidency of the Council of the European Union in the first six months will generate about 50,000 overnight stays in Bucharest hotels alone. The hotel activity will remain intense after the first half of the year, considering that the George Enescu International Festival (held every two years) takes place this autumn, followed by the European Football Championship (UEFA Euro 2020) next year.

The higher supply of hotel rooms might put downward pressure on prices but, in fact, the prices should instead rise in order to reflect the 20% higher construction cost and 44% higher labor cost (compared to two years ago), commented Raluca Buciuc, head of valuation services and hospitality advisory services, Colliers International.

editor@romania-insider.com

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