Malaga Hotel Market Review 2016. A Research Report by Aninver

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Demand vs. SupplyDemand vs. Supplyntinued to grow as a key urban tourism destination in Spain. The city hosts now 1.2 million visitors annually, representing 2.4 million hotel nights sold. International tourism grew +14% in 2016, and today 62% of all the hotel nights sold correspond to foreigners. New hotel supply continues to be very limited and Malaga is now third by occupancy rates in Spain with 76.6%. Average daily rate in 2016 was € 80.7 for 3 to 5 star hotels. Hotel transactions are frequent (7 in the last two years) and at good prices per room, with many hotel chains and international investors trying to gain presence in the city.

Visitors and overnights

Throughout the period 2005-2016, the city of Malaga has been one of the fastest-growing urban destinations in Spain. The number of visitors and hotel nights sold has more than doubled over the past eleven years and it keeps increasing. Recently-ended year, closed with the stunning numbers of almost 2.4 million overnights and 1.2 million visitors.

The number of international visitors grew 14% from 2015 to 2016, whereas national visitors decreased 2%. Furthermore, Spaniards have reduced their nights spent by 4% while foreigners have increased their rate by 13% within the same period and international tourists represent 62% of the overnights and 56% of the visitors.

Current hotel supply

Current hotel supply consists of 92 hotels and 9,753 hotel beds. Over the past few years, the number of hotel beds has increased steadily (+9% since 2010). 3* and 4* hotels represent 63% of all hotel beds. Major hotel chains with presence in the city are: Accor (3 hotels/417 rooms), Hispania (2/350), Barceló (1/221), AC by Marriott (1/214), Melia (1/197), Ilunion Hotels (1/179), HI Partners (1/141), Foncière des Régions (1/133) and Vincci (1/103).

Malaga is becoming a key museum destination

Malaga has clearly positioned itself as a cultural destination over the past years. Since the opening of the Picasso Museum in 2003, the number of museums has grown significantly. Centro Pompidou and Museo Ruso, both opened in 2015. Museo de Malaga is the last incorporation which opened to the public in the December 2016 becoming the biggest museum in Andalusia and the 5th in Spain with slightly over 2,000 pieces in the Fine Arts collection and over 15,000 in the Archeology collection.