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German Tourism Skyrockets as Europe’s Strongest Economy Takes the Lead Once Again
September 3, 2013Article by Ray Withers
As UN World Tourism Organisation (UNWTO) officials confirm tourism as a key pillar in reviving the global economy, Germany continues to prove itself as both a major tourism destination and as Europe’s strongest economy. Last year, the country saw record hotel bookings of over 400 million overnight stays and an 8.1% increase in foreign visitors.
Airport traffic sky high
The current growth of Munich Airport is a key indicator of an uptake in tourism. The total passenger volume of 38.4 million in 2012 exceeded the previous year’s figure by 600,000 (2%). This equates to revenues of circa €1.2 billion, a gain of more than €50 million (or 5%) as compared with 2011; and more than 100 airlines offered scheduled services from Munich to 242 destinations in 68 countries.
This trend looks set to continue in 2013, with the airport already setting a new passenger record in the first six months of the year. The 18.6 million passengers arriving or departing within this time shows a gain of 0.3%. In order to meet demand, Munich Airport’s Terminal 2 building is set for completion in 2015 and will boost capacity to 11 million passengers per year.
Top 10 destination is also number 1 for residents
Along with ranking in the top 10 most visited destinations in the world, Germany is also a favoured holiday hotspot for German citizens.
Data from a recent survey carried out by specialist ADAC Reisemonitor, shows 37.1% of Germans choose to stay in Germany for their main holiday. A poll conducted by the German National Tourist Board (GNTB), ranks the 19th century Romanesque Revival palace, Neuschwanstein Castle, as the leading tourism destination in the country. Set on a hill above the village of Hohenschwangau (near Füssen) in Bavaria, the castle beats even UNESCO World Heritage site, Cologne Cathedral, to first place. It is believed Bavaria’s current popularity as Germany’s leading tourism destination has boosted castle visitors and, therefore, local tourism trade.
Property market second only to super-rich Monaco
As well as being the number one country to lead the eurozone out of recession (followed by France), Germany also ranks as number two in the top ten recession-proof property markets (second only to super-wealthy Monaco).
Having avoided the housing boom which occurred in many countries just before the crash, the German property market has remained on a reasonably even keel throughout and house prices continue to rise at a gradual, yet steady pace.
A recession-proof international investment
Ray Withers, Property Frontiers CEO, comments: “Germany consistently proves itself to be a world leader for its stable economy, strong growth and low unemployment rate. When you combine this with its popularity as a tourist destination, it is easy to see why Ernst & Young cite Germany as the most attractive destination for foreign investors.”
He continues: “Tourism-led investment, in particular, is booming. Savills reports a 155% increase in German hotel room investment alone, as investors capitalise on the combination of factors currently offered by the German market.”
He continues: “Bavaria, the leading tourism destination in Germany, is our own number one location for investment. Here you can invest in four star hotel rooms from around £47,000, for an assured net yield averaging 10.33% and with a fixed return leaseback. Essentially, you get a great, recession-proof investment in Europe’s strongest economy, within the strongest area of trade … plus your own hotel holiday home in a stunning location. You can’t get much better than that.”
Read more about the German economy in Germany Leads Eurozone Out of Recession with €30billion Commercial Property Market.
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