RLA Global releases 2025 Mid-Year Wellness Real Estate Report

Advisory firm RLA Global has released its 2025 Wellness Real Estate Mid-Year Report, which evaluates how wellness affects average hotel performance across 11,000 properties worldwide.

The headline finding from the 2025 report is that the wellness hospitality sector is demonstrating remarkable stability amid persistent economic pressures.

“As inflationary forces erode discretionary income and soften demand at lower price points, properties with robust wellness offerings remain stable, proving their strategic value by driving ancillary spend,” said Roger Allen, CEO at RLA Global.

Revenue across all wellness categories remains strong, with Total Revenue Per Available Room (TRevPAR) and Average Daily Rate (ADR) holding firm through the first half of 2025.

“Notably, Major Wellness properties posted 4.8 per cent year-on-year (YOY) growth in TRevPOR,” adds Allen. “This demonstrates that high-end wellness investments continue to resonate with guests willing to pay for premium experiences.”

The report is based on HotStats data. It compares property-level data from January to June 2025 with the same period in 2024.

Occupancy patterns

The data reveals an interesting dynamic in occupancy patterns. Major Wellness properties achieved 67 per cent occupancy – up 0.8 per cent year on year. Minor Wellness saw even stronger growth, up 1.6 per cent year on year.

“Conversely, properties with No Wellness experienced a decline – down 0.8 per cent,” said Allen. “This suggests wellness amenities are increasingly influencing booking decisions at every level, helping properties maintain or grow market share.”

The profitability equation

“When examining profitability, an intriguing picture emerges,” said Allen. “Major Wellness properties maintain the highest profitability at $91 Gross Operating Profit Per Available Room (GOPPAR).

“However, Minor Wellness properties are demonstrating stronger growth momentum, posting $71.1 GOPPAR with an impressive 5.0 per cent year on year increase.

“This performance gap highlights that properly planned Minor Wellness properties can deliver solid returns without the operational complexitities and capital intensity of full-scale spa facilities.”

Global wellness hotspots

“Our top ten performing countries analysis reveals fascinating geographic patterns in wellness demand and pricing power,” said Allen. “For membership fees, the UK leads with $13.5 Per Available Room (PAR) and solid 10.2 per cent year on year growth, demonstrating the successful crossover of the health club market into hotel-based membership models.

“For spa treatment revenue per occupied room (POR), the Maldives stands at the pinnacle with $38.6 POR, reflecting the remote, resort-style nature of properties where guests have limited alternative entertainment options and strong demand for on-site spa experiences.

“France commands $37.6 POR and Indonesia shows the most remarkable growth trajectory at 11 per cent. This represents the impact of a rapidly expanding spa culture driven by dynamic tourism growth in Bali and beyond.

“The UK demonstrates steady 4.8 per cent growth at $11.5 POR, driven by increasing demand for wellness experiences and a year-round destination appeal.”

Conclusions from RLA Global’s report

“While Major Wellness properties achieve higher absolute profitability, Minor Wellness properties demonstrate stronger growth momentum and require less capital intensity,” said Allen. “This makes them attractive for investors seeking efficient returns without full-scale wellness operations.

“This data reaffirms that wellness facilities drive revenue primarily through increased ancillary spending rather than dramatically higher room rates.

“Hotels should market wellness offerings as value-added services that enhance the overall guest experience and extend on-property spending, rather than solely using them to justify premium room pricing.”

The full 2025 Mid-Year Wellness Real Estate Report can be downloaded here.

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