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You are at:Home » European Hotels Report Mixed Performance for June 2025
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European Hotels Report Mixed Performance for June 2025

4 August 20252 Mins Read

  • European Hotels Report Mixed Performance for June 2025 – Image Credit CoStar   

  • Weather Influence: Unseasonable heat drove travelers from the U.K. and Hungary to cooler Nordic destinations, affecting hotel occupancy.
  • Event Impact: The absence of major events like those in 2024 led to a decline in RevPAR across Europe, though upcoming concerts are expected to boost performance.

In June 2025, European hotels experienced a modest performance, with several factors contributing to the lackluster growth in Revenue Per Available Room (RevPAR). High occupancy levels in Western European countries presented challenges in maintaining growth, as even slight year-over-year declines are common in these markets. The volatility in these high-occupancy areas suggests that other underlying factors may be affecting hotel demand.

Weather played a significant role, with unseasonable heat prompting travelers to seek cooler climates in Nordic countries such as Sweden and Denmark, impacting hotel occupancy in places like Hungary and the U.K. Despite the heat, Southern European countries like Portugal, Spain, and Italy saw strong occupancy and Average Daily Rate (ADR) growth, driven by beach access and long-haul travel from North America.

The absence of major events that boosted hotel performance in 2024, such as the Champions League final and the UEFA Euros tournament, contributed to the RevPAR declines in June 2025. However, the start of the European summer holiday season in July is expected to improve hotel performance across the continent.

Events, including Black Sabbath’s farewell concert and Oasis’s Live ’25 tour, have already shown positive impacts on hotel performance, particularly in the U.K., suggesting a promising outlook for the coming months.

Discover more at STR.

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