While hotel rooms in New York are expensive, they offer more room, the survey finds. — Unsplash
A January 2026 report on hotel space has shed light on how much travellers are "actually paying" for hotel rooms across Europe, when measured by price per square metre.
The report analysed the busiest tourist destinations to identify where travellers pay the most for the space they get. Conducted by Deluxe Holiday Homes, the study determined the cost per square metre by taking the average hotel room price and dividing it by the average room size. This method shows a fair comparison between cities, regardless of currency or overall nightly rates.
Based on the report, Venice, Italy is the most expensive city based on the actual price paid.
The hotel space in Venice is priced at US$16.17 (RM64.28) per sq m. Rooms in the city are the smallest in the study, with an average of 12sq m, yet they cost US$194 (RM771.25) per night. Travellers pay more for significantly lesser space than other major destinations.
Paris, France comes in second at US$11.28 (RM44.84) per sq m. While slightly cheaper than Venice, Parisian hotel rooms are larger, averaging 16s qm and costing US$180.50 (RM717.58) per night.
Meanwhile, London, England ranks third with a cost of US$11.25 (RM44.72) per sq m. Similar to Paris, average rooms in London measure 16sq m and the nightly rate is US$180 (RM715.59). The difference in the cost of hotel space between London and Paris is only US$0.03 per sq m, which means the prices are almost the same.
Spain’s Barcelona takes fourth place, with rooms costing US$179 (RM711.61) per night and averaging 18sq m. While the nightly rate is comparable to London and Paris, the slightly larger rooms means better value for travellers. Guests get more room for almost the same price, making Barcelona a more comfortable option for those prioritising space.
New York City, United States ranks fifth, with a price of US$9.82 (RM39.04) per sq m. While the city has the highest nightly rate at US$250.50 (RM995.86), its rooms are also the largest, with an average of 25.5sq m. For travellers who want more space, New York offers a better value.
A spokesperson from Deluxe Holiday Homes said in a press statement, “Small rooms aren't always a bad deal, but Venice is a perfect example of what happens when space is tight, and demand is huge. Staying in a 12sq m room is basically like living in a parking spot, and paying nearly US$200 (RM795) for it shows how much tourist crowds drive up prices.
"In famous cities full of old buildings, you're often fighting millions of other people for a tiny slice of the city, so you end up paying a premium no matter how small the room actually is."
In #11 is Singapore, the first Asian country on the list. With an average room size of 20sq m and average room price at US$159.50 (RM625.60), the price per sq m comes up to US$7.98 (RM31.30).
Hong Kong is the next Asian city on the list at #16, followed by Medina (Saudi Arabia, #18), Macau (#20), Shenzen (China, #21), Riyadh (Saudi Arabia, #24), Shanghai (China, #26), Denpasar/Bali (Indonesia, #27), Taipei (Taiwan, #28), Tokyo (Japan, #29) and Osaka (Japan, #30).
Surprisingly, Johor Baru ranks higher than Kuala Lumpur on the list, with the former at #40 and the latter at #42.
For more information, check out Deluxe Holiday Homes. – Gisele Soo
