25 Most Luxurious Hotels in the World
In this article, we will be taking a look at the 25 most luxurious hotels in the world. To skip our detailed analysis of the global leisure and hospitality industry, you can go directly to 10 Most Luxurious Hotels in the World.
Global Leisure and Hospitality Industry Outlook
The global tourism industry is finally on track after a pause in 2020 and 2021. The COVID-19 pandemic came as a bombshell and placed the entire world on hold. The leisure and hospitality industry faced daunting challenges just like many other industries such as airlines, speciality retail, and automobiles. However, the changing patterns in living styles are making a difference in the leisure and hospitality industry.
On March 23, Ernst & Young’s Americas Hospitality Sector Leader, Umar Riaz, published a report on the outlook of the hospitality industry in 2023. According to the report, the post-pandemic traveling trend remains strong and should continue to rise in 2023. In 2022, the revenue per available room was up 8.1% in the U.S. compared to 2019. During the same period, the revenue per available room was up 6.1% in Europe. On the contrary, a negative trend was recorded in Asia with a 31.2% decline in revenue per available room from 2019 to 2022. The plunge in the Asian market was primarily driven by restrictions in China. The report also adds that the revenue per available room in the U.S. has surpassed GDP growth during the current economic cycle. Comparing the GDP growth and revenue per available room, Umar Riaz said:
“Historically there has been a strong correlation between GDP growth and revenue per available room. But it’s my opinion that given the current dynamics of the travel industry, even if there is a mild recession in the next six months or so, the travel industry will still perform strongly.”
The market performance of the hospitality industry has been overwhelming compared to other industries such as technology and retail. The upward trend in hotel bookings is expected to increase during the second half of 2023 and should attract more visitors to the most luxurious hotels in the world.
Factors Supporting the Hospitality Industry
Despite the global recession threat, people’s urge to spend holidays at the most luxurious hotels hasn’t died down. Wealthy people always want to spend some time in luxury. Consequently, some major factors are key to supporting the hospitality sector such as leisure demand, business travel recovery, and China’s re-opening. Increasing inflation might affect the choices of consumers when they travel, but demand remains strong.
Ernst & Young's report suggests that most people are planning at least one leisure trip during the second half of 2023. The statistics for booking group business travel soared 13% in 2023 in comparison to 2022. China’s re-opening means that Asia’s travel market is once again back on track. China was one of the world’s largest outbound travel markets pre-COVID, with 154 million trips from Chinese travelers, adding $255 billion to the traveling economy. However, it is challenging for the hospitality industry to cater high demand in such a short time with the re-opening of such a massive market.
Barclays’ outlook for the hospitality and leisure industry addresses a key challenge, which is to cover up the staffing shortages. The Head of Hospitality and Leisure at Barclays Corporate Banking, Michael Saul, believes that there are significant career opportunities in the hospitality and leisure market.
Big luxury hotel companies are performing well following the traveling relaxation after COVID. As we mentioned previously, Marriott International, Inc. (NASDAQ:MAR)’s CEO, Tony Capuano, highlighted that their luxury portfolio saw an increase of 30% in Q1 2022, relative to their rates in 2019. Marriott International, Inc. (NASDAQ:MAR) during the first quarter of 2023 made strong progress. On May 2, the hotel-chain giant reported revenue of $5.62 billion and surpassed estimates by $171.20 million. The company posted earnings per share of $2.43 and beat EPS consensus by $0.58. During Q1 2023, Marriott International, Inc. (NASDAQ:MAR) added around 11,000 rooms globally. The company is making progress in its luxury segment as highlighted in Q1 2023 earnings comments:
“We're very focused on rate, and I think that's revealed in the results with global Average Daily Rate (ADR) up about 11% in the quarter. If you look at the U.S. and Canada, Q1 luxury rates, as you point out, were down slightly year-over-year. But as we dig into that data, our sense is that modest decline is largely around mix shift. So the prior several quarters, the bulk of that luxury rate growth was in leisure destinations, resort destinations as we start to see pickup in demand in urban downtown core destinations, that's great for the business, but it's at lower rates, and that's dragging down a bit. With that said, globally, luxury ADR was up 4% in the quarter, even as compared to the extraordinarily strong ADR we saw for luxury in the first quarter.
And then just to put a little more context to your question, Robin, and I think this kind of tracks with the industry data that you referenced. This is system-wide for the quarter -- we end, as compared to '22, luxury RevPAR was up 18%, extended stay revenue per available room was up 16%, Select brand revenue per available room was up 23% and premium revenue per available room was up 35%.”
Some other notable names from the luxury hotel industry are also thriving including Hilton Worldwide Holdings Inc. (NYSE:HLT) and InterContinental Hotels Group PLC (NYSE:IHG). As we pointed out earlier, Hilton Worldwide Holdings Inc. (NYSE:HLT) posted a revenue of $2.29 billion in Q1 2023 and outperformed revenue estimates by $104.84 million.
Our Methodology
Finding the most luxurious hotels in the world was a grinding task, since it has partiality. The subjectivity of the topic can sometimes make it hard to give rankings based on one aspect. However, we took rankings for the most luxurious hotels from the most credible sources out there. We sourced them from Trip Advisor, Travel + Leisure, Forbes Travel Guide, Conde Nast, and Michelin Guide. We took the top 5 hotels from each index until we had our list of the 25 most luxurious hotels in the world. We then ranked all hotels from all 5 lists, from highest to lowest, based on the prices of their most luxurious room or suite. The price was sourced from official websites and we tried to find the daily rate for the most expensive suite. The prices may vary based on the dates and reservation availability. For the hotels offering prices in currencies other than the U.S. dollar, we converted them to U.S. dollars, exchange rates as of July 15. Our ranking is subject to our estimation of each hotel’s available reservation option from their official website.
25 Most Luxurious Hotels in the World
25. Decu Downtown
Price per Night: $233
Decu Downtown is located in Merida, a historic city in Mexico. The hotel is one of the prime destinations to visit in the country. Decu Downtown offers free continental breakfast, a garden view, and a rooftop terrace. Offering some of the top amenities, Decu Downtown is ranked 25th on our list of the most luxurious hotels in the world.
Some notable luxury hotel companies in the world include Marriott International, Inc. (NASDAQ:MAR), Hilton Worldwide Holdings Inc. (NYSE:HLT), and InterContinental Hotels Group PLC (NYSE:IHG).
24. The Bungalows by Homestead Modern
Price per Night: $355
Located in California, The Bungalows by Homestead Modern offers premier stays to its visitors. Customers can also visit hiking trails and the Joshua Tree Retreat Center pool during their time at the hotel. The Bungalows by Homestead Modern ranks among the most luxurious hotels in the world.
23. The Bushcamp Company’s Mfuwe Lodge
Price per Night: $420
The Bushcamp Company’s Mfuwe Lodge is situated inside a park in South Luangwa, Zambia. Mfuwe Lodge is the perfect place to enjoy your luxurious stay under a canopy of ebony and mahogany trees. The Bushcamp Company’s Mfuwe Lodge is one of the most luxurious hotels in the world.
22. El Rey Court
Price per Night: $450
El Rey Court was built in 1936 and the luxurious hotel has been renovated into a modern travelers oasis. Located in Santa Fe, the U.S., the hotel offers top-notch services to its customers. El Rey Court is ranked 22nd on our list of the most luxurious hotels in the world.
21. Andaz Bali
Price per Night: $453
Andaz Bali is located in Indonesia, one of the most popular tourist spots in Southeast Asia. The hotel reflects the culture of Balinese village, offering a mix of traditional and modern experiences. Andaz Bali ranks among the most luxurious hotels in the world.
20. Little Cat Lodge
Price per Night: $648
Little Cat Lodge is situated in the Hudson Valley near New York, U.S. The hotel offers an alpine-styled restaurant and 14 rooms available for visitors. Ranked 20th on our list, Little Cat Lodge is one of the most luxurious hotels in the world.
19. Goldener Hirsch, Auberge Resorts Collection
Price per Night: $874
Goldener Hirsch, Auberge Resorts Collection is an iconic hotel in Silver Lake Village, Utah. The hotel is designed by award-winning architect Tom Kundig and presents an iconic inn with contemporary residences. One of the best hotels in the U.S., Goldener Hirsch, Auberge Resorts Collection is ranked among the most luxurious hotels in the world.
18. Aristide Hotel
Price per Night: $1,012
Situated in Greece, Aristide Hotel is a blend of a home and a club. Offering an eco-friendly environment to its visitors, Aristide Hotel is one of the most luxurious hotels in the world.
17. Lost Lindenberg
Price per Night: $1,158
Located in Indonesia, Lost Lindenberg lies in one of the most beautiful places of Bali. The hotel offers a variety of luxury services along with treehouse-style rooms. Lost Lindenberg is ranked seventeenth on our list of the most luxurious hotels in the world.
16. La Perla Villas & Suites
Price per Night: $1,182
La Perla Villas & Suites is located in the heart of Santorini, Greece. The boutique-style hotel provides luxury of the best form. The hotel is situated on the famous caldera of Oia, giving an experience of a lifetime with breathtaking views of the volcano and Aegean Sea. La Perla Villas & Suites is one of the most luxurious hotels in the world.
15. The Ned Doha
Price per Night: $2,044
Situated in the former Ministry of Interior building in Qatar, The Ned Doha provides a wonderful experience. The hotel has Ned’s Club for its private members allowing them to access a gym, spa, outdoor pool, and a rooftop terrace. One of the richest Arab countries, Qatar has the world’s attention after the FIFA World Cup 2022. The Ned Doha is ranked 15th on our list of the most luxurious hotels in the world.
Some of the top hotel stocks to buy according to hedge funds include Marriott International, Inc. (NASDAQ:MAR), Hilton Worldwide Holdings Inc. (NYSE:HLT), and InterContinental Hotels Group PLC (NYSE:IHG).
14. Playa Vik José Ignacio
Price per Night: $2,194
Playa Vik José Ignacio is a great place to stay if you are visiting Uruguay. The hotel is known for its romantic environment and access to top restaurants. The availability of splendid amenities and deluxe services makes Playa Vik José Ignacio one of the most luxurious hotels in the world.
13. Hotel Chelsea
Price per Night: $2,302
Hotel Chelsea is located near Madison Square Garden, New York. The hotel has a rock and roll vibe as it is an historic place for visitors. Hotel Chelsea is ranked thirteenth on our list of the most luxurious hotels in the world.
12. Capella Bangkok
Price per Night: $3,017
Capella Bangkok is a new-age urban resort located in Thailand. The resort provides a beautiful view of Chao Phraya River. One of the best hotels in the region, Capella Bangkok is ranked among the most luxurious hotels in the world.
11. Regent Phu Quoc
Price per Night: $3,058
Regent Phu Quoc provides you with mesmerizing views of Phu Quoc island during your stay at the hotel in Vietnam. From ocean suites to beachfront villas, Regent Phu Quoc ranks among the most luxurious hotels in the world.
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Disclosure: None. 25 Most Luxurious Hotels in the World is originally published on Insider Monkey.