The First Edition of INVEST in Hospitality Properties: Opportunities and Challenges for Increasing Profitability in Hospitality

Bucharest, November 29, 2024 – The first edition of the INVEST in Hospitality Properties in the CEE Region conference, held in Bucharest on November 27–28, brought to the forefront essential discussions about increasing profitability in the hospitality sector in Romania and Central and Eastern Europe. The event facilitated the exploration of the connection between real estate and hospitality, gathering ministers, ambassadors, leaders of international hotel chains, investors, banking representatives, and real estate experts at a time of growing opportunities for hotel infrastructure expansion.

The economic future: balancing global challenges and local opportunities
The opening panel raised a critical question: Should we look at Romania’s economic future with optimism or pessimism? The annual inflation rate is projected to rise to 4.9% in 2024, followed by decreases to 3.5% in 2025 and 3.3% in 2026, said Cristian Popa, Member of the Board of Directors of the National Bank of Romania, who delivered a message from Governor Mugur Isărescu.
“Annual economic growth was primarily driven by private consumption during the first half of 2024 and is likely to remain so throughout the year. Additionally, the recent double-digit growth in labor costs in the private sector has exceeded expectations,” the message added. Popa also emphasized the importance of maintaining a high pace in attracting EU funds and directing them toward generating long-term economic synergies.

Switzerland as the guest country: a model of hospitality excellence
H.E. Massimo Baggi, Ambassador of the Swiss Confederation to Romania, highlighted the collaboration between the two countries in his opening remarks:
“Currently, Switzerland invests €220 million in Romania across several sectors, including energy, energy efficiency, and dual education. I believe that hospitality is one of the industries where Switzerland has excellent practices to share with Romania,” he stated.


The Central and Eastern European hospitality sector: a strategic opportunity
According to data presented by Alina Cazachevici, Head of Hospitality Operations CEE/SEE at Cushman & Wakefield, and echoed by other speakers, the demand for hotel developments in the region is supported by changing tourist behavior, growing interest in secondary destinations, and a strong focus on sustainability. The midscale and upper-midscale segments remain the primary targets for new investments in Romania and the region due to increasing demand and cost-efficient development.

Additionally, the integration of green solutions and efficient technologies is becoming a critical requirement for attracting capital, particularly in the context of alignment with ESG goals. These trends indicate that Romania holds a competitive advantage in the CEE region, and implementing sustainability- and innovation-driven strategies could significantly enhance the local hospitality market's appeal.


Prof. Dr. Ray F. Iunius, CEO of winsed.swiss, the event’s organizer, stated:
“Romania is becoming increasingly attractive to investors and hotel brands, which are starting to discover and invest in it. If, in the past, Eastern European countries were viewed negatively, today they are among the most dynamic regions in Europe. Improving Romania’s hotel infrastructure will significantly boost domestic tourism. The growth of the average rate per night and the value per guest will allow for larger investments. Moreover, the increased spending of both local and international tourists can transform a budget deficit into a surplus. Investments in the hospitality industry should not only focus on infrastructure but also on people. This is why the winsed.swiss concept supports partners with integrated solutions, including recruitment, training, consulting, and management.”

Alternative models and investing in people
The panels explored alternative development models in the hospitality industry, emphasizing the growing interest in secondary destinations and franchise operations.
“Hospitality is a capital-intensive sector, but more importantly, it relies on people. Investing in people is not a cost but a long-term strategy,” concluded the discussions on human resources in this sector.

Technology and resilience: key priorities for hospitality
Another essential topic was the integration of technologies to enhance resilience and operational efficiency. A representative of the National Bank of Romania highlighted:
“Technology offers exceptional opportunities to identify connections that support resilience and operational efficiency, bolster cyber resilience, and prevent cyber terrorism and money laundering. Collaborative innovation can serve as an anchor in the new technological context. The crisis has underscored the importance and contribution of payment systems to the entire economy. I emphasize the critical role of payment systems and technologies in supporting the development of the hospitality sector, promoting inclusive and sustainable tourism.”

The Gala Dinner: celebrating excellence in hospitality
On the evening of November 27, the INVEST Gala, held under the patronage of His Royal Highness Prince Radu, celebrated excellence and innovation in the hotel industry. Prince Radu opened the event with a speech, emphasizing the impact of outstanding investment projects.

Edu Day: knowledge for a profitable future
The second day of the summit, November 28, was dedicated to education, featuring training sessions led by international experts. Topics such as hotel performance analysis, asset management, and data-driven strategies equipped hospitality professionals with the tools needed to navigate the complexities of the industry. 

INVEST Summit 2024 demonstrated the exceptional quality of its panels and interventions, with participants from around the world highlighting the high level of discussions. By hosting relevant debates moderated by international experts and local leaders, the summit showcased Romania’s potential as a significant hub for strategic dialogue and innovation in Central and Eastern Europe.

About winsed.swiss
With branches in Romania, Switzerland, Serbia, and Cyprus, the winsed.swiss group operates at the intersection of hospitality, tourism, and education. It offers integrated services for professionals in these fields, guiding them toward performance through recruitment, training, consulting, and hotel management.