The hotel business in Prague is experiencing a very difficult period, hoteliers lost many individual tourists and corporate clients, as a reaction most of them are offering the same service for vigorously low prices. The worst situation is in Prague, where the offer exceeds the demand. Overall, the city has approximately 40 000 rooms, 10 thousands more than the necessary. The crisis hits mostly the luxury five-and four-star hotels, the occupancy fell in the first three months of the year by twenty to forty percent. Most hotels in Prague operate at a loss and the average occupancy of 4 star hotels is 50%, due to intense competition, hoteliers had to change their price list from an average of 130 EUR/double room per night last year to a price below one hundred EUR this year

Prague luxury hotels are attracting guests with their lower prices. For example, hotel Mucha’s prices decreased by nearly two-thirds and now attracts guests for 1 500 CZK/ night. Hotel Albion went even further by offering a double rooms for 1 090 CZK.
If you actually want to spend a luxurious weekend in the heart of Prague, it’s enough to have a budget of two thousand CZK (less than 100 EUR).