Investments worth hundreds of millions of euros have transformed the Romanian hotel market

Investments worth hundreds of millions of euros have transformed the Romanian hotel market

In 2000, there were only 14 four-star hotels in Romania, but by 2024, the number had reached 430. Many of the local hotel brands have entered this segment and many entrepreneurs have bet on four-star hotels. The local hotel market has become a hotspot for major international hotel brands, which are either entering the market for the first time or adding new brands to their portfolio. The sector has also become attractive to investors from other markets, in particular real estate developers, as well as entrepreneurs with core activities in other markets.

Tourism has strengthened its position in the economy over the past two and a half decades, growing from just 3,000 accommodation establishments nationwide in the early 2000s to more than 13,000 in 2024, according to data from the National Institute of Statistics. It’s not just accommodation units that have multiplied, but also hotels, which have not only increased in number but also in standards. From just a handful of four- and five-star hotels across the country, they have come to set new standards in the market, even dictating the direction in which the hospitality sector should go.

The evolution of the market is clear from the official data. From 811 hotels in 2000, Romania has grown to 1,600 in 2024, a doubling compared to 25 years ago.

Evolution of accommodation establishments and hotels 2000-2024:

Year	Total accommodation units	Hotels	5 star hotels	4 star hotels
2000	3121	811	3	14
2001	3266	828	4	16
2002	3338	835	5	21
2003	3569	886	8	33
2004	3900	927	8	46
2005	4226	989	8	67
2006	4710	1059	8	82
2007	4694	1075	10	89
2008	4840	1104	16	96
2009	5095	1159	19	122
2010	5222	1233	19	156
2011	5003	1308	24	194
2012	5821	1384	28	228
2013	6009	1429	29	247
2014	6130	1456	31	262
2015	6821	1522	33	286
2016	6946	1530	33	290
2017	7905	1577	33	333
2018	8453	1616	34	359
2019	8402	1608	36	362
2020	8610	1581	36	372
2021	11736	1583	34	394
2022	12201	1602	34	398
2023	12697	1601	42	407
2024	13538	1608	47	430

The number of five-star hotels has risen from just three in 2000 to 47 hotels in this category. Although the number of such hotels is still small, the investment in such accommodation is very high and few have been betting on the sector until recently. However, from 2019 to 2024, a period marked by pandemics, inflation and various economic woes, the market has grown and hospitality has added 11 five-star hotels.

In the case of four-star hotels, which are much more widespread nationwide, the pace of growth has been much stronger. In the year 2000, Romania had just 14 four-star hotels; by 2024, the number had reached 430. Many of the local hotel brands have entered this segment and many entrepreneurs have bet on four-star hotels. The capital also has the most five-star hotels in the country; out of the 47 five-star hotels nationwide, half are in Bucharest, which is also the gateway for big international brands to bring their luxury brands.

However, other areas of the country, such as Brasov, have also come to the forefront of international chains, and have become an increasingly attractive spot for international chains or brands. An example of this is the opening of the Swissotel hotel in Poiana Brasov, the brand is part of the portfolio of the Accor hotel chain, with the biggest presence on the local market. Although the opening of a Swissotel in Bucharest was announced several years ago, the project is still on hold.

Thus, Accor has chosen to enter into a partnership with the real estate developer Neagoe Basarab in Brasov to open a hotel under the same brand. Swissotel Poiana Brasov opened last fall.

Brasov is also the gateway for the Hyatt hotel chain, which will put its logo on the current ARO Palace hotel, which is undergoing an extensive renovation process, and the work should be completed in 2027.