CHICAGO, Illinois—JLL’s Lodges & Hospitality Group launched its 2025 U.S. Lodge Funding Tendencies Report, which discovered that the U.S. resort funding market demonstrated exceptional resilience in 2025, with transaction quantity climbing 17.5 % year-over-year to achieve $24 billion.
This vital uptick in exercise, pushed by robust non-public fairness exercise and strengthening debt markets, positions the sector for continued momentum as buyers capitalize on favorable market situations and strategic alternatives heading into 2026.
Key Findings
The restoration was notably pronounced in key progress markets, with New York main transaction exercise at $3.7 billion (29 trades), adopted by Phoenix, Arizona, at $1.5 billion (22 trades) and Washington, D.C., at $1.2 billion (22 trades). These markets benefited from a number of large-scale transactions that drove total volumes.
The information additionally revealed a basic shift in resort funding patterns, with high-net-worth people and overseas capital turning into more and more energetic individuals, whereas non-public fairness continued to be energetic.
This momentum is anticipated to proceed into 2026, led by favorable debt markets, which have considerably diminished the price of borrowing. In keeping with Kevin Davis, Americas CEO of JLL Lodges & Hospitality Group, “Since September 2024, when the Fed began reducing rates of interest, the general price of debt has decreased by nearly 300 foundation factors, which has enabled buyers to get optimistic leverage when buying an asset, thereby driving elevated funding exercise. This dynamic fueled transaction exercise within the second half of 2025 and can drive elevated transaction exercise in 2026, and would be the catalyst for transactions in 2026.”
2025 resort working efficiency exemplified the Okay-shaped restoration, with RevPAR for luxurious properties rising by 3 % over 2024, whereas RevPAR for midscale and economic system segments decreased by 2.8 % and 4.4 %, respectively. This efficiency bifurcation displays altering shopper preferences and spending patterns, with high-income vacationers driving continued premium section outperformance.
2026 Outlook
Looking forward to 2026, JLL’s evaluation indicated substantial alternatives, notably in World Cup host cities. Primarily based on historic knowledge displaying Tremendous Bowl video games contribute a mean of two.8 share factors to annual market RevPAR, World Cup host cities are positioned for even higher influence because of the event’s prolonged length and worldwide attraction. With over 70 video games throughout 39 days, many host cities might expertise mid-double-digit RevPAR progress in 2026.
“The World Cup represents a transformational alternative for U.S. resort markets,” stated Dan Peek, Americas president of JLL’s Lodges & Hospitality Group. “Mixed with America’s 250th anniversary celebrations, choose cities are positioned for distinctive efficiency in 2026. Our forward-looking evaluation signifies this might be a watershed second for the hospitality sector.”
The availability outlook additional supported the funding thesis, with new resort provide progress anticipated to stay nicely beneath the long-term common of 1.7 % yearly. This constrained provide atmosphere, mixed with the 43 % city market share of transaction quantity in 2025, demonstrated buyers’ confidence in current property benefiting from restricted new competitors.
