Canadian hotel transactions were up 22 per cent in the first half of 2013, in comparison to the same period last year.

According to a recent report by CBRE, transaction volumes reached $794 million year-to-date, compared to $640 million in the first half of 2012.

Comparatively, Real Capital Analytics predicts U.S. hotel transaction volume for the first half of 2013 will be more than 40 per cent higher than the same period last year.

The CBRE report shows that in the second quarter (Q2) of 2013, the average per room price was down 20 per cent from Q2 in 2012. The average price was driven up in 2012 by transactions such as the Four Seasons Toronto, which had rooms trading at $375,000. Seventeen of the 55 trades that occurred in Q2 of 2013 exceeded $100,000 per room.

More than half of total transaction volume for the first half of 2013 occurred in the Greater Toronto Area (GTA). Notable transactions included the Morguard Corp. acquisition of three Courtyard by Marriott and two Residence Inn by Marriott properties.

CBRE predicts hotel investment activity will remain strong for the rest of the year and the trend of larger deals will continue.