Hotel Investment Hits a Record in Spain, and the Costa del Sol Ranks Second

Hotel investment in Spain is living a historic moment. In the first half of 2026 it moved €2.46 billion, up 26.5% on the previous year, hitting record highs that confirm the appeal of Spanish tourism to major capital. But what interests us most at EVS is where that money is going: the Costa del Sol has established itself as Spain's second-ranked destination. Let's look at the figures and what they reveal for the property investor.

A record half-year for the hotel sector

The €2.46 billion invested through June was spread across 88 assets and more than 12,000 rooms. The average price per room reached €213,300, another all-time high that shows just how much quality hotel product has appreciated.

The bulk of the money, 84%, went to hotels already in operation, whilst refurbishments and land for new projects accounted for the remainder. The consultancy firm Colliers forecasts that the total for the year could exceed 4,000 million, in a market which, in its own words, demonstrates “depth and liquidity”.

The Costa del Sol: Spain's second destination

The figure closest to home: the Costa del Sol attracted €435 million, 18% of all hotel investment in the country. Only the Balearic Islands (€577 million, 23%) rank higher, and it stays ahead of the Canary Islands (€363 million) and even Madrid and Barcelona individually.

It's no accident. Capital seeks well-established holiday destinations, and sun-and-beach product captured 60% of all investment versus 40% for the urban segment. The Costa del Sol offers exactly what investors want: year-round tourist demand, international brands and a market with room to grow.

Moving upmarket: five-star leads the way

The shift toward the high end is clear. Five-star hotels accounted for 51% of the invested volume and four-star another 35%. In other words, more than eight of every ten euros went to premium product.

For anyone who knows the Costa del Sol, this fits what you see on the ground: the area has positioned itself as a luxury destination, with top-tier hotel brands and a high-end residential demand moving alongside them. Where major hotel investment arrives, the value of quality homes nearby tends to consolidate too.

What it means for the property investor

Even if buying a hotel is beyond most people's reach, these figures are a valuable signal for any private investor. Here are the underlying takeaways:

• Major capital, including 62% of domestic origin, is betting on the Costa del Sol — an endorsement of the destination that's hard to match.
• The tourist demand behind hotel investment is the same demand that drives residential holiday rentals.
• The focus on the luxury segment reinforces the appeal of high-end homes in the area.
• A market with “depth and liquidity” is one in which it is easier to buy and, when the time comes, to sell.

Conclusion

The Costa del Sol being Spain's second hotel investment destination isn't just another headline: it confirms that the south draws the most demanding capital. For the private buyer or investor, that same strength is a guarantee of the area's value over the medium and long term.

At EVS we work the Malaga and Costa del Sol market every day. If you want to invest in an area where major capital has already set its sights, get in touch and discover the opportunities that best fit your goals.