By Michael Baws, Daily Mail, London
Knight Ridder/Tribune Business News
Jan. 12--Hotels are a property investor's best friend. Since 1996, the average hotel investment is up 27 percent
-- roughly double the 13.7 percent rise in the Retail Price Index.
According to business property valuers and agents Christie & Co, pubs also beat inflation with a five-year
rise of 17 percent while restaurants rose 15 percent.
But nursing and residential homecare properties fell 2.6 percent in 2000 and are 9 percent down over five years.
Healthcare is the only commercial market to be ailing. Christie reckons it may have reached the turning point.
Businesses that comply with the new national standards should have higher occupancy and benefit from improved investor
confidence.
The hotel sector could see mergers. Last year over UKpound 500 million worth of deals was completed. This year,
says Christie, "the big will get bigger."
Pubs were even busier in 2000 as over UKpound 1 billion worth changed hands. With Bass, Whitbread and possibly
Wolverhampton & Dudley putting pubs on the market, there will be plenty of action this year too.
(c) 2001, Daily Mail and the Financial Mail on Sunday, London. Distributed by Knight Ridder/Tribune Business News.
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UKpound preceding a numeral refers to the United Kingdom's pound sterling.