FRENCH HOTEL SECTOR MAINTAINS STRONG MOMENTUM

Kevin Eagan - Apr 13, 2026
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Despite regional differences, performance in France's lodging industry stayed strong through February. Growth came not only from rising visitor numbers but also from a busy schedule of calendar of events including conferences, sports, and arts festivals. National data shows overall improvement compared to last year’s figures. Still, certain areas and types of hotels did much better than others. The update comes from In Extenso’s recent analysis focused on travel, culture, and accommodation sectors.

National Performance Stays Strong

During February, hotels across the country filled 55% of their rooms, one percent higher than the levels seen in early 2025. Revenue per available room hit €107 before tax, reflecting a slight climb of 1%. Meanwhile, an alternative RevPAR figure climbed more noticeably - by 2% - reaching €59 net of VAT. Across January and February of 2026, average performance settled at €58 per available room excluding VAT, matching last year's growth pace at +2%.

Despite steady progress driven by rising consumer interest along with a packed calendar of events, challenges remain. Still, global political tensions shape conditions under which the industry must adapt.

Paris and Île de France Are at the Forefront

Paris and nearby areas beat the country's overall performance last month. A rise of 5 percent brought the city’s February RevPAR to €141 before tax. That upward trend came not just from more guests, but also steeper room rates - especially visible in moderately priced hotels. Higher demand paired with pricing power pushed results beyond prior levels.

A varied lineup of events drove solid results by combining corporate travel with vacation stays - Wine Paris & Vinexpo, the Six Nations match series, Valentine’s Day, alongside Chinese New Year festivities played key roles. €151 in combined RevPAR for January and February, not counting VAT, marked a 6 percent rise, highlighting Paris as a leading global draw. Yet outcomes across Île-de-France overall showed less consistency.

Mixed Outcomes by Region

February painted a varied scene beyond Paris and the French Riviera. Around half of available rooms were occupied, on average. Room prices remained stable, ticking along at €84 before tax. What lifted performance? Strong results in upper-tier hotels. Their revenue per room rose by 3%. In contrast, cheaper options continued to struggle. Market conditions there showed little improvement.

Despite rough weather hitting many seaside spots - especially across the southwest and parts of the Mediterranean outside the Riviera - RevPAR fell eight percent there. Places like Marseille and zones near Biarritz took a harder hit than others. Still, certain towns saw gains thanks to happenings within their borders: Lille drew energy from arts and sports gatherings. Meanwhile, Montpellier got a lift when the Open Occitanie tennis event came back into play. Even so, these pockets of strength did little to balance out wider gaps across regions.

French Riviera Sees Strong Recovery

One of the brighter spots last month came from the French Riviera. Up by four percentage points, occupancy hit 53%. Rates rose five percent, landing at €107 a day before tax. As a result, revenue per available room jumped nine percent, hitting €56 net of VAT.

This recovery gained momentum from a packed calendar of events, notably in Cannes - home to MIDEM, IPEM Wealth, the World AI Cannes Festival, alongside the International Games Festival. Occupancy climbed there, driven by these draws, while Nice saw boosts too: its Carnival and the Monte Carlo Rally pulled guests, mainly into mid-tier and premium accommodations. A slowdown emerged only among top-end properties, where steep rate hikes may have slowed bookings.

Urban Homes Hold Steady

Stability held through the urban housing market. A two-point lift pushed occupancy to 64%, yet average income per night dipped slightly by one percent, settling at €76 before tax; even so, revenue per available unit edged up 1% to €49 excluding VAT. Growth here leaned heavily on performance across Île-de-France, where returns climbed three percent. Elsewhere, outcomes split - some zones weakened, particularly cities with moderate pricing, their figures dropping.

French Hotel Sector Outlook

Spring brings steady demand into the French hotel sector, fueling momentum alongside a packed calendar of events. Though Paris and the Riviera lead with strong results, lesser-performing areas face challenges without supportive environments or focused efforts. Behind the scenes, global tensions persist - requiring hotels everywhere to stay flexible, adjust rates wisely. Growth hinges less on broad trends, more on how quickly businesses respond amid shifting pressures.

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