If you’re looking for a great investment opportunity in the travel and tourism sector, beachfront hotels are a lucrative pick. You’ll find a wealth of opportunities with this type of property.
Exploring the Market for Beachfront Hotels for Sale
Beachfront hotels feature accommodations that are on or near the beach. Many of these hotels even have their own private stretches of sand for guests to enjoy. With ample access to sun, sand, and sparkling water, beachfront hotels offer the ideal amenities for a variety of vacation opportunities.
Why Investing in Beachfront Hotels Can Be Lucrative
Revenue from beach hotels is on the rise. Gross revenue from beach hotels is expected to climb from $208 trillion in 2023 to $326 trillion in 2033. As the world recovers from the global COVID-19 pandemic, families are anxious to resume outdoor adventures and relaxing vacation activities. Beachfront hotels offer the perfect solution.
Current Trends and Opportunities in the Beachfront Hotel Industry
The beachfront hotel industry is perfectly situated to take advantage of current vacation trends. The destination wedding market has risen steadily in recent years, from $7.5 billion in 2016 to $16.8 billion in 2020. The industry is expected to reach $290 billion by 2031. Couples cite climate as one of their primary reasons for booking a destination wedding, which makes a balmy beach resort the perfect pick. Wellness tourism is also growing; this market is expected to reach more than $1.97 trillion by 2031.
Factors to Consider When Looking for Beachfront Hotels for Sale
When you’re evaluating beachfront hotels for sale, you need to consider your hotel acquisition criteria. Which amenities can you offer? Is there room for an on-site spa, restaurant, poolside bar, and beach rentals? How many rooms and suites are available? Is the area full of competitors, or are you positioned to offer something new on that stretch of sand? The ideal property has plenty of space for amenities and lies in an area with ample demand for vacation accommodations.
Financing Options for Purchasing Beachfront Hotels
You should seek financing from a lender who understands the complexities of investments in luxury hotels. You can run into trouble if you underinvest in the property and fall short of fully developing it. Consider the cost of labor and materials for any renovations needed and factor this into your financing.
Identifying the Right Locations for Beachfront Hotels
Location is a prime consideration when you’re looking into beachfront hotels for sale. How close is the hotel to the water? Do you have private beach access? Are other amenities such as restaurants, boat rentals, and boutique shops located nearby? Not all beachfront properties are equal, so consider the full experience that your guests will have.
Key Features and Amenities of Beachfront Hotels for Sale
As you’re comparing beachfront hotels for sale, look for these essential features:
Ocean View and Proximity to the Beach
There’s a difference between hotels that are within view of the beach and those that sit right on it. The closer you can get to the sand, the better. If you’re right on the water, your hotel can offer beach rentals such as lounge chairs, umbrellas, and boogie boards. If you’re a short walk from the beach, you’ll have more success renting bikes or running a shuttle to make it easier for guests to get to the sand.
On-Site Recreational Facilities and Activities
When you’re looking at beachfront hotels for sale, check out the pool situation. While many guests will simply hit the ocean, others may prefer the safety and cleanliness of a pool. An ocean-view pool is ideal. Consider whether you can offer other recreational opportunities as well, such as an on-site bar or restaurant. If you don’t have dining facilities on the property, consider partnering with a nearby restaurant to offer a room-service menu.
Spa and Wellness Facilities
Guests looking for a health and wellness retreat seek out destinations that can offer spa services on-site or even in the room. Some beachfront hotels for sale may even have room for a beachfront spa where guests can enjoy a massage in view of the ocean. Consider whether you can offer other wellness perks such as fitness classes or a menu with vegan, vegetarian, and gluten-free options. If you’re ready to start exploring beachfront hotels for sale, contact us for more information. This sector provides a wealth of opportunities. We’ll help you find the ideal fit for your needs.