Cushman & Wakefield confirms that Italy remains a leading European destination for hospitality investment. However, investors are adopting a more cautious approach to capital allocation.

Around 54% of operators identify as net buyers. Only a small share consider themselves net sellers. Value-add and opportunistic investors show the strongest appetite for new deals.

Expected returns on equity have increased to 15.6%. This reflects stricter underwriting despite improved financing conditions.

Rising construction costs remain a key concern. Investors also monitor uncertainty in hotel performance and global geopolitical risks.

At the same time, ESG factors are gaining importance. Investors are willing to pay a premium for assets with top certifications such as BREEAM and LEED.

Artificial intelligence will also shape the sector’s future. Most operators expect it to have a strong impact by 2030.