CHICAGO, Illinois—JLL’s Inns & Hospitality Group launched its 2025 U.S. Lodge Funding Traits 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 sturdy non-public fairness exercise and strengthening debt markets, positions the sector for continued momentum as traders capitalize on favorable market circumstances and strategic alternatives heading into 2026.

Key Findings

The restoration was notably pronounced in key development 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 general volumes.

The information additionally revealed a basic shift in resort funding patterns, with high-net-worth people and international capital turning into more and more lively members, whereas non-public fairness continued to be lively.

This momentum is predicted to proceed into 2026, led by favorable debt markets, which have considerably decreased the price of borrowing. In accordance with Kevin Davis, Americas CEO of JLL Inns & 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 traders to get constructive 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 financial system segments decreased by 2.8 % and 4.4 %, respectively. This efficiency bifurcation displays altering client 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. Based mostly on historic information displaying Tremendous Bowl video games contribute a median of two.8 proportion factors to annual market RevPAR, World Cup host cities are positioned for even better impression as a result of event’s prolonged length and worldwide enchantment. With over 70 video games throughout 39 days, many host cities might expertise mid-double-digit RevPAR development in 2026.

“The World Cup represents a transformational alternative for U.S. resort markets,” mentioned Dan Peek, Americas president of JLL’s Inns & Hospitality Group. “Mixed with America’s 250th anniversary celebrations, choose cities are positioned for distinctive efficiency in 2026. Our forward-looking evaluation signifies this may very well be a watershed second for the hospitality sector.”

The provision outlook additional supported the funding thesis, with new resort provide development 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 traders’ confidence in present property benefiting from restricted new competitors.