Dutch Hotels Miss the Wider Property Investment Rebound

Commercial property investment has recovered strongly in the Netherlands, but hotels are not following the wider market. CBRE recorded €7 billion of Dutch property transactions in the first half of 2026, an increase of 36% year on year. Office, residential and retail investments all advanced; hotels were the only major sector without growth. The divergence coincides with a higher tax on short stays and continued demand for accommodation.

Hotels Stand Apart from the Investment Revival

CBRE’s September midyear review puts office investment growth at 66%, residential at 43% and retail at 30% in the first six months of 2026. Total transaction count rose from 388 to 520. Hotels were the lone exception to sector-wide volume growth. The published summary does not provide a comparable hotel-sector decline, so it would be misleading to assign one.

Chart: changes in investment volume, Netherlands, H1 2026. CBRE Netherlands; International Investment visualisation. No comparable percentage for hotels was published in the overview.

The broader recovery continued into the third quarter. Investment reached €10.5 billion in January–September, up 27% from a year earlier. Third-quarter volume amounted to €3.4 billion, more than 8% above the same period in 2025. These figures measure property transactions across sectors, not the appreciation of individual properties or hotel earnings.

Accommodation VAT Is Now 21%

The Dutch Tax Administration confirms that the VAT rate for most hotel and short-stay accommodation rose from 9% to 21% on 1 January 2026. The higher rate also applies to stays taking place in 2026 that were prepaid in 2025. This is an enacted rule, not a proposal still awaiting legislative approval. International Investment’s earlier article on Dutch VAT should be updated accordingly.

A rise of 12 percentage points in VAT is not the same as a 12% increase in the final room price or a 12% fall in operating profit. The consequences depend on whether hotels can pass the tax to guests, how contracts are priced and whether demand holds up. Higher borrowing costs make that uncertainty more consequential for hotel buyers and lenders.

Guest Nights and Investor Returns Are Different Measures

Statistics Netherlands reported a provisional 3.325 million guests and 6.909 million nights in hotel-type accommodation in August 2026. Its category includes establishments beyond traditional hotels, including certain hostels and boarding houses. Guest nights cannot be used on their own to calculate occupancy, average daily rate or revenue per available room.

Hotels welcomed 33.7 million guests in 2025, around 2% more than in 2024. Some 16.2 million were international visitors. Demand of that size supports hotel operations, but property valuations must still account for energy, staffing, maintenance, financing and the tax paid on a room sale.

Selective Deal-Making in Amsterdam

CBRE’s 2026 outlook forecasts approximately €700 million of hotel investment in the Netherlands for the year, roughly unchanged from 2025. This is a projection, not a confirmed transaction total. The adviser expects realistically priced Amsterdam assets to become available, while hotel operators focus on efficiency and margin protection.

Restrictions on new hotel construction in some Dutch cities may support incumbent properties, but scarce supply does not guarantee an attractive return on acquisition. Refurbishment spending, management terms, energy efficiency and resilience outside peak months remain central to valuation.

The Next Test for Dutch Hotels

The sector’s investment case will depend on verified full-year deal volumes, city-level room revenue and the extent to which operators preserve margins under 21% accommodation VAT. A strong overall property market and busy hotels do not necessarily point to higher hotel asset prices.

Frequently Asked Questions (FAQ)

How much did Dutch commercial property investment grow in H1 2026? Volume rose 36% to roughly €7 billion, according to CBRE.

Did hotel investment also grow? No comparable rise was reported for hotels, the exception among the major property sectors.

What VAT applies to Dutch hotels? Most short-stay accommodation is subject to 21% VAT from 1 January 2026, rather than 9%.

How many hotel guest nights did the Netherlands record in August? The preliminary CBS figure was 6.909 million nights in hotel-type accommodation.