Spain's tourism industry expects strong growth and massive hotel expansion

Booking.com’s regional director for central and southern Spain, Javier Rodríguez, said that 82 % of Spanish hoteliers anticipate a positive outlook for the next six months, with occupancy and average rates rising by more than 60 % in recent months. He highlighted the sector’s resilience despite geopolitical pressures and noted that social media and event tourism, such as the Pope’s visit and major concerts, are driving demand.

At the same time, rising costs are prompting travellers to adjust their plans. Hotel rates have risen about 4 % and daily tourist spending reached roughly €198 in March 2026, leading visitors to shorten stays, travel off‑season, or choose secondary cities and lower‑cost accommodations.

Kayak’s summer‑fare analysis shows that several domestic routes remain inexpensive, with Valencia (€63), Ibiza (€80) and Palma de Mallorca (€85) among the cheapest flights, while Bordeaux and Milan are the most affordable international options.

Looking ahead, the hospitality market in Spain is set for a major expansion. EY‑Parthenon data project 500 new hotel openings by 2030, adding around 40 000 rooms and shifting the portfolio toward four‑ and five‑star properties. Private‑bank capital and major chains such as Mandarin Oriental and Nobu are increasing investment, especially in luxury segments on the islands and in major cities.