Madrid closed 2024 with a record number of visitors: 10.4 million travellers, driven mainly by international tourism and major world-class sporting and leisure events. The capital also recorded 21 million overnight stays, surpassing even pre-pandemic levels.
Sustained growth in 2025
Recent data make its resilience clear: in the first months of 2025, overnight stays continued to grow (+2.6% on the same period of 2024), despite the expected normalisation after several years of record expansion. This solid base confirms something fundamental: Madrid still has real room for growth in quality tourism, luxury and corporate events (MICE).
An international gateway with infrastructural muscle
Adolfo Suárez Madrid-Barajas Airport has recovered and surpassed its 2019 traffic levels, ranking among Europe’s top five hubs with 66.2 million passengers in 2024 (+9.9% year on year). It is also in the midst of delivering its ambitious Airport City project, which will transform 32 hectares into hotels, offices and premium services.
This strategic development will not only strengthen Madrid’s connectivity but also create new opportunities for operators and funds interested in hotel assets linked to business and international transit.
More beds, but still room to grow
While many European capitals face restrictions on new hotel supply, Madrid expanded its hotel stock by 7.5% in number of establishments and by 2.4% in beds in 2024 alone. Today the city has almost 94,000 beds across 942 hotels.
Most significantly, more than 62% of this supply is in the 4-star segment and almost 15% in the 5-star and grand luxury segment, a mix that points to increasingly premium positioning. In addition, there are 45 hotel projects under construction, with a pipeline of more than 4,800 new rooms. Madrid has almost three times as many new rooms in development as Barcelona, which confirms the strength of demand and investor confidence.
A luxury segment on the rise: the data that prove it
Key RevPAR and ADR figures for 2024 and 2025
Madrid’s 5-star segment is showing unprecedented momentum. For the first time, the capital’s luxury hotels have matched the revenue per available room (RevPAR) of Barcelona, historically the benchmark in this respect.
In 2024, Madrid’s average daily rate (ADR) soared by 15.9% to €155.6, and RevPAR grew by 17.7% to almost €116.1. In early 2025, ADR rose by a further 14.5% year on year. But the most telling figure is 5-star RevPAR, which grew by more than 25% in 2024 compared with the previous year.
Profile of the international luxury tourist
Luxury attracts international tourists with greater purchasing power, who also stay longer on average. The data confirm it: 63% of overnight stays in Madrid now come from foreign travellers, led by visitors from the US, followed by a boom in the Chinese market (+74% in 2024).
Events, culture and sport: drivers of premium demand
Major events that boost hotel occupancy
Madrid continues to strengthen its position as a capital of events and conferences. For the sixth consecutive year, it was named World’s Best MICE Destination at the World Travel Awards.
The effect of dynamic pricing on returns
New milestones such as the NFL Game in 2025, the arrival of Formula 1 at the future MADRing semi-urban circuit in 2026 and mega-concerts by international stars are consolidating the city as an epicentre of major events that drive hotel occupancy and push up rates.
Each major event pushes rates in the surrounding area up by 20% to 75%, generating exceptional returns for operators and their owners.
Investment leadership: Madrid, three years at the top
In terms of investment, Madrid has led the Spanish urban market for the third consecutive year, with 17 transactions and a volume of €594 million in 2024. Highlights include iconic acquisitions such as the Hotel Miguel Ángel (€200M) and the entry of family offices and established chains, demonstrating a preference for prime assets and locations with strong repositioning potential.
Madrid: an open, flexible market with room to run
While other cities face regulatory constraints that restrict new openings, Madrid offers legal certainty, land availability and stable regulation, key factors in attracting institutional capital and international investors.
The data show a city that absorbs new supply without becoming saturated, that continually improves its luxury product and that attracts global brands such as Nobu, Radisson Collection and Palace Luxury Collection. It is the perfect combination: growing supply + international demand + cutting-edge infrastructure.
RS Bersy: backing high-end hospitality
At RS Bersy, we work every day to identify, analyse and unlock the value of “off-market” opportunities for strategic investors seeking quality assets in the 4- and 5-star segment. We currently manage confidential mandates for the acquisition, repositioning or development of premium hotels in key locations in the capital.
We firmly believe that Madrid is today one of the most attractive urban destinations in Europe for investing in high-end hospitality, offering risk-adjusted returns and real potential for capital appreciation in the medium term.
📩 If you are a family office, institutional fund or wealth adviser with clients looking to diversify into prime hotel assets, we at RS Bersy would be delighted to show you the unique opportunities we are currently developing.