Decline in Hotel Occupancy in Athens in July – Short-Term Rentals Add Pressure

Athens and Attica hoteliers are expressing dissatisfaction with the occupancy levels recorded in July 2025, and indications suggest that August will follow a similar pattern.

Specifically, average hotel occupancy in July stood at 83.3%, compared to 86.4% in July 2024, reflecting a decline of -3.6%. In comparison to July 2023, the drop reaches -5.7%. June also recorded a decrease of 2% in average occupancy.

Despite stable performance during the first seven months of the year – with average occupancy at 75.8%, marking a slight increase of 0.4% – the drop seen in July has raised concerns within the industry.

The primary “competitor” for hotels is currently the booming short-term rental sector. The surge in short-term rental activity, evident both in high occupancy levels of apartments and the large influx of tourists in Athens, continues to put pressure on traditional hotels – especially 3-star properties, which have seen a downward trend since March.

Key Performance Indicators – July 2025:

• ADR (Average Daily Rate): €207.85 (+1.1% vs €205.54 in July 2024)
• RevPAR (Revenue Per Available Room): €173.19 (-2.5% vs €177.64 in July 2024)

7-Month Performance – January to July 2025:

• Average Occupancy: 75.8% (+0.4%)
• ADR: €176.18 (+1.6%)
• RevPAR: €133.49 (+2%)

Athens vs Competing European Cities

Compared to other European city destinations, Athens continues to outperform Istanbul, but lags behind Barcelona, Madrid, and Rome in all major performance indicators.

Looking Ahead

Hoteliers are now awaiting announcements by the Prime Minister at the Thessaloniki International Fair (TIF), hoping for concrete measures to support the sustainability of the hotel sector.

There is growing demand for a balanced tourism strategy, as the widening gap between traditional hotels and short-term rental platforms is reshaping Athens’ tourism economy – not always to the benefit of established hospitality businesses.

Source: pagenews.gr