Switzerland as a save location for hotel investments.
Actually, Switzerland is not a country but a brand; figuratively marked by the white Swiss cross on a red background as a trademark and by living values such as independence, bourgeoisie, direct democracy and willingness to compromise. Taking stock, these values have led to the most successful state of all time.
In 1847, the last military conflict on Swiss soil took place with the “Sonderbund” war, which lasted less than three weeks. Strict neutrality and unity made it possible. Therefor Switzerland is a valued host and mediator in international conflicts. In terms of quality of life, Swiss cities such as Geneva or Zurich regularly alternate at the top of different world rankings. And the Swiss franc is the world's hardest currency. It is based on a healthy economy, dominated by high finance and corporations, but especially by medium-sized companies. In short: The only thing that could be criticized about Switzerland, would be an access to the sea. But for that at least in the tourist sense - the numerous lakes offer a more than adequate replacement.
Exemplary country of stability and security
All these advantages of the small alpine republic have led to a stability and security that have always exerted a magical attraction on wealthy people from all over the world. A European country that survives two world wars is obviously more than crisis-proof. Low taxes do the rest to polish up this shining reputation. The fact that the banking secrecy for foreigners has been virtually lifted and that Switzerland is no longer regarded as a classic refugee country for black money, could even prove to be an advantage for the future. But how do investments in Switzerland look like?
Swiss real estate market: narrow and high priced
The real estate market in Switzerland is one of the most attractive in the world in terms of investment security. In addition to legal certainty and stable economic conditions, it is particularly important here that land cannot be increased. Because in the already small country, the area theoretically usable for real estate is also geographically limited by lakes and mountains. An ever-smaller supply of space and high demand pressure are driving the price upwards at the same time. This basic trend also applies to hotel properties, but with slightly different market rules.
Popular destination for private and business travelers
In general, hotels in Switzerland are in great demand as an investment. In private tourism, the high cost of living and the hard Swiss franc do not harm the business, because the clientele seems to enjoy the high level. As a holiday destination, the model country has a long tradition and markets its advantages professionally in both summer and winter. Business travelers, representatives of international organizations or diplomats cannot ignore Switzerland as a conference venue. These factors lead to above-average occupancy rates, which are reflected in high prices for hotels. And for the general plus in security, long-term-thinking investors certainly also accept discounts on the return.
Offer with rarity value
But there is a problem with Swiss hotel real estate as investment: there are only rarely attractive properties on the market. Why should an owner sell his well leased hotel? This is a legitimate question, especially in times when liquidity costs money and for safe government bonds, low interest rates have to be paid. In the rare case of divestments, strategic asset shifts or per-sonal reasons play a key role. With two Swiss hotels on offer, HOTELINVEST once again proves its leading role in this business, which is characterized by trust, discretion and profes-sionalism. Both hotels - one in Geneva, one in Zurich - are sold with ongoing long-term lease contracts and guaranteed returns.