SW Ontario Hospitality Market Report

Government investment to benefit hotel performance. Windsor and London are becoming hotbeds for business expansion. Both cities have seen their real-time business conditions index rise drastically and rank within the top five in Ontario since the announcements that Stellantis and Volkswagen — both supported by government subsidies — will build electric vehicle battery manufacturing facilities within the submarkets. This will directly influence corporate travel demand and create spillover effects that will benefit hotel performance over the longer term. The expected 2025 completion of the Gordie Howe Bridge — which is entirely funded by the federal government — will also expand Canada’s connectivity with the United States, advancing both trade and tourism opportunities in the region as a whole. Despite recent slowing in economic activity and consumers’ hesitancy to spend on travel, long-term hotel prospects remain optimistic.