Spring 2025 Hotel Investment Update: Key Themes Ahead of IHIF 2025

The International Hospitality Investment Forum (IHIF) 2025 takes place in Berlin from 31st March to 2nd April. This year’s event promises another deep dive into the current investment landscape and both Guy Lean and Dan Akhtar are returning there once again to represent HPG, and they especially look forward to reconnecting with people and making new contacts at one of our favourite conferences.   

This year’s key themes will focus on the ongoing economic shifts and their influence on hotel investment decisions, innovative financing solutions, the future of luxury and lifestyle brands, and how public-private partnerships impact the future of hospitality. 

In this article, we have gathered insights from across the global hotel investment industry to provide an overview of the trends we think may dominate discussions at IHIF 2025 including; ongoing economic shifts and their influence on hotel investment decisions, innovative financing solutions, the future of luxury and lifestyle brands, and how public-private partnerships are impacting the future of hospitality. We hope that this will give you an insight into the current investment market, whether you are attending the conference or not.  

To help you further prepare for IHIF, we also highly recommend the latest edition of the Hilltop Tracker which is released this week. The tracker is a detailed quarterly report focusing on real estate transactions in the hospitality sector that has been created by Tom Oakden of Hilltop Hospitality Advisors, in partnership with HPG. The link to request your copy is at the end of this article. 

The Rise of Hotel Conversions 

One of the most prominent themes at IHIF 2025 will be the ongoing rise of hotel conversions, a topic that aligns with the “Adaptive Reuse and Conversion” session on 1st April. As highlighted recently in Hotel Investment Today, the surge in conversions stems from rising construction costs, supply chain disruptions, and the expiration of brand-mandated Property Improvement Plans (PIPs) that were delayed during the pandemic. Michael Cummings of CBRE Hotels Advisory notes that many owners now face a choice between costly renovations and strategic brand changes. 

Ben Rowe of KHP Capital Partners, whose portfolio includes significant conversion projects, points out that conversions have become a cost-efficient way to reposition assets and enhance ROI. Mehul Patel of NewcrestImage echoes this sentiment, emphasising that adaptive reuse is particularly attractive in the current economic climate. Sessions at IHIF 2025 will explore how these strategies are being implemented across Europe and the U.S. 

Financing the Future 

Securing funding remains a critical challenge in 2025. With traditional bank financing proving inconsistent, investors are increasingly looking towards multi-layered financial structures, including private equity and joint ventures. Notably, the IHIF session on “New Directions: Where is the Lending Market Headed Next?” on 1st April, will address the evolving landscape of financing options. 

Rockbridge’s Matt Welch points out that while there is cautious optimism about lender activity, the bid-ask gap between buyers and sellers continues to create friction. Meanwhile, private equity players like NewcrestImage are leveraging creative funding solutions, including SBA loans and tax credits, to support conversions and renovations. These themes are expected to be a focal point during finance and investment sessions at IHIF 2025. 

Luxury and Lifestyle 

Luxury investments are set to take centre stage at IHIF 2025, with the session “The Luxury Equation: Aligning Concepts with Evolving Guest Expectations” scheduled for 1st April. As Hospitality Investor highlights, investors are increasingly drawn to high-barrier markets like Portugal and Greece, where luxury and lifestyle properties are thriving. 

VIC Properties’ €1.7 billion luxury development in Comporta, Portugal, exemplifies this trend, offering bespoke villas and branded residences within a natural reserve. Similarly, Invel’s Mediterranean Hospitality Venture (MHV) is focusing on high-net-worth travellers with premium resort developments in Greece. The focus on guest-centric luxury experiences and the blending of high-end hospitality with local culture will be key discussion points at the event. 

M&A and Market Volatility 

Despite a challenging economic environment, mergers and acquisitions continue to offer opportunities for savvy investors. At the Hunter Hotel Conference, which took place in Atlanta, Georgia last week, industry leaders discussed how market volatility, while daunting, also creates potential for strategic acquisitions. IHIF’s session on “Sealing the Deal: Lessons Learned from Recent Transactions” will cover how investors are capitalising on distressed asset sales. 

Greg Friedman of Peachtree Group highlighted that higher interest rates and debt maturities are pushing some owners to divest assets, while local buyers with access to financing are well-positioned to take advantage of undervalued properties. As the market normalises, stakeholders are optimistic that liquidity will improve, particularly in the extended-stay and select-service segments. 

Public-Private Partnerships 

As cities look to revitalise urban areas post-pandemic, public-private collaborations have become essential. Hospitality Investor notes how cities like Rome and Paris are leveraging major events and government support to enhance hospitality infrastructure. The session “Collaborative Development: Public-Private Synergy for Hospitality Growth” on 1st April at IHIF, will explore how stakeholders are working together to balance growth and sustainability. 

Turkey stands out as another collaborative success story, with booming tourism driving investment in Istanbul, Antalya, and other key locations. Major brands such as IHG and Marriott are expanding their presence, driven by strong RevPAR growth and supportive economic policies. 

Resilient Segments 

According to Nobel Investment Group, select-service and extended-stay properties remain robust investment opportunities, driven by steady demand and lower operating costs. Based in the U.S., Noble has made significant strides in this segment, recognising the appeal of efficient, long-term accommodation amid economic uncertainty. The session “The Future of Extended-Stay and Select-Service Investments” at IHIF will delve into how these properties continue to perform well despite market turbulence. 

What to expect at IHIF 2025 

With a comprehensive agenda, a diverse range of speakers and an incredible opportunity to network with some influential industry people, IHIF 2025 looks set to once again serve as a vital platform for stakeholders to exchange ideas and forge new partnerships. From navigating the continuing economic volatility to leveraging the latest hospitality trends, the forum will provide actionable insights for investors, developers, and operators. 

If you are attending IHIF 2025 and would like to discuss any of the above trends and their potential impact on your people strategy, Guy Lean ([email protected]) and Dan Akhtar ([email protected]) would love to connect and set up a chat in Berlin.  

If you are interested in receiving a copy of The Hilltop Tracker straight to your inbox every quarter, please let us know by email here. 

Empowering Women in Hospitality

March is synonymous with International Women’s Day, inspiring us to share our insights on gender diversity from our work in networking and mentoring. 

With a strong background in networking, our team at HPG is very comfortable navigating crowds, making connections and building relationships. However, we also recognise that not everyone shares this experience and appreciate that working in a crowd of people can feel particularly daunting if it is not something you do regularly. The hospitality industry is built on relationships, and an effective networking strategy can have a significant impact on your career progression.

For female professionals looking to advance their careers, mentorship and sponsorship play a critical role in building confidence to unlock and navigate these career opportunities. However, the access to these opportunities is not always equal, and different individuals experience networking spaces and career advancement in unique ways.

Women often find themselves underrepresented in senior hospitality leadership roles, and those who do succeed in this arena have the additional pressure of vast performance expectations. Understanding how to develop a strong network of influential supporters is often crucial to ensuring equal access to professional growth.

We hope that sharing our insights and experience might help all individuals, regardless of gender or background, reach their full potential in hospitality.

Building Confidence and Connections
Mentorship is a structured way to share expertise and guide others in their career development. It can take many forms, from formal mentorship programmes to informal relationships that develop naturally through networking. In our experience, there isn’t a one-size-fits-all solution as different individuals approach it in their own ways. Some thrive in structured settings, while others benefit from more organic, natural relationship building. More extroverted individuals may find the networking element much easier, while introverts might prefer one-on-one mentorship relationships that grow slowly over time. 

For those looking to find or become a mentor, there are excellent platforms available:

  • Inspiring Women in Hospitality – A global initiative that connects and supports professionals across the industry.
  • Institute of Hospitality – Offers a mentorship scheme designed to support hospitality professionals at all career stages.
  • Be Inclusive Hospitality – A platform dedicated to supporting underrepresented groups in hospitality through mentorship, education, and advocacy.
  • Master Innholders – Provides leadership development and mentoring opportunities for professionals in the hotel industry.

While each of these platforms offers a valuable network to explore, none of them can guarantee a perfect match for each mentee. Personality compatibility is essential, and respecting your mentor’s time by knowing and communicating what you want to achieve out of your discussion is crucial to forging a successful mentorship. Ultimately, a mentee has the most to gain from this relationship and should be the driving force behind it.

Navigating Networking
From our experience, expectations of what can be achieved from networking events can differ across genders and personality types. For instance, large-scale networking events often favour people who are naturally outgoing and comfortable introducing themselves to strangers and engaging in broader, more competitive, and transactional networking, that focuses on expanding their contact base and doing deals. Those who prefer more structured, goal-oriented interactions and look to build deeper, more relational connections may find it beneficial to seek out events with pre-arranged mentorship elements or discussion groups. 

While these personality types can be found across either gender, the added assumptions and gender biases can also impact these outcomes. The unconscious bias that perceives a natural masculine assertiveness more naturally suited to networking, could manifest itself into situations where women are less likely to be approached at networking events, asked about their family life more than their career achievements, less likely to be taken seriously, and less likely to be introduced to high-level contacts due to their gender. 

For networking to be inclusive and effective, organisations should consider how they structure their events. Creating a mix of formal and informal networking opportunities, ensuring gender balance among speakers and attendees, and incorporating elements of structured mentoring or introductions can help level the playing field for everyone.

Sponsorship and Advocacy
While this networking and mentorship can provide guidance and support, it is sponsorship that actively propels careers forward. Sponsors are influential leaders who advocate for their protégés, recommending them for key roles and leadership opportunities. Research suggests that individuals with sponsors are significantly more likely to advance in their careers, highlighting the importance of having someone in your corner who will champion your skills and achievements.

As Naureen Ahmed, Founder of Inspiring Women in Hospitality puts it:

“Sponsorship is what people say about you when you are not in the room.”

Unlike mentorship, sponsorship is often more informal and unstructured, making it less transparent and harder to access. Effective networking plays a crucial role in connecting with potential sponsors, yet women and underrepresented groups can find it more challenging to secure these opportunities. In hospitality, where relationships have such a strong impact on career advancement, this lack of clear sponsorship pathways can disproportionately affect women. Many potential sponsors may unconsciously favour candidates who remind them of themselves, which reinforces existing gender imbalances in leadership roles. Additionally, women are frequently expected to demonstrate exceptional performance to gain the same level of advocacy that men might receive more readily. This should certainly be considered as we strive for more inclusive networking environments.

Creating a More Inclusive and Equitable Industry
If businesses want to foster a strong workplace culture, they should ensure that mentorship, sponsorship, and networking opportunities are accessible to everyone, regardless of gender, personality type, or background.

Some key actions that hospitality businesses can take include the following:

  • Encouraging diverse networking environments – Avoiding exclusive, informal sponsorship networks and ensuring a balance of perspectives in leadership circles.
  • Supporting mentorship and sponsorship initiatives – Providing structured mentorship programmes and creating a culture of advocacy within leadership teams.
  • Recognising different networking styles – Offering a mix of formal and informal networking opportunities to accommodate different personalities and working styles.
  • Prioritising visibility for underrepresented professionals – Ensuring that everyone has access to career-advancing opportunities through open dialogue and transparent promotion processes.

At HPG, we are committed to fostering workplace cultures that support mentorship, advocacy, and leadership development. If you’re looking to enhance your organisation’s people strategy, then please get in touch.

Andrea Shaw
[email protected]
+44 07714 236 469

Mara Cattaneo
[email protected]
+44 20 8600 1180

Tairona Lattanzi
[email protected]
+44 20 8600 1160

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