Hotel Destinations Asia Pacific - Hotels & Hospitality Group | May 2017 - JLL Asia Pacific
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Hotels & Hospitality Group | May 2017 Hotel Destinations Asia Pacific
1 Hotel Destinations – Asia Pacific
Auckland
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (NZ 2016) Number of New Rooms (2017)
86.6% NZD 191 NZD 166
3.5 million 663 rooms
Tourism Demand
New notable hotels Auckland International Airport, which is the Auckland reported an average occupancy
‘gateway’ for Auckland and New Zealand level of 86.6% for the period year ending
Jet Inn Extension, overseas visitors, has experienced strong March 2017, the highest occupancy level on
Auckland International Airport growth. For the period YTD December record in over 20 years. Auckland’s market
60 rooms 2016, total passenger movements have occupancy has risen every year since 2010,
increased 12% with an increase recorded in after reaching a post-GFC low of 69.5% in
Swiss-Belsuites Victoria Park domestic passenger movements, up 12.5% 2009. FIT and Corporate business dominate
40 rooms and international passengers increasing the business mix of Auckland hotels
by 11.5%. International visitor arrivals to contributing 47.5% and 20.5% of hotel guest
New Zealand reached 3.5 million for the nights respectively, y-o-y to March 2017.
period year ending February 2017, a 10.7% International sourced guests accounted for
Upcoming hotels improvement over the corresponding prior 45% of guest nights sold, while domestic
year period. guests accounted for 55%.
SKYCITY Hobson Street Hotel
Four Points by Sheraton
Park Hyatt Auckland
M Social Auckland (former Copthorne
Hotel Auckland Harbourcity)
The Sebel Auckland Manukau
Supply Outlook
Seven projects (comprising a total of 1,291 We anticipate that Auckland’s
rooms) are currently under construction accommodation market will continue to
Notable hotel deals and are forecast to enter the market over perform strongly in the short term and is
the next two years, with five of the hotel poised for further rate growth and to solidify
Ibis Christchurch projects (818 rooms) comprising 5-star recent gains in occupancy levels given the
product. The seven new hotel projects current capacity constraints, although
Novotel Christchurch represent an approximate 20% increase in ultimately the ‘wave’ of new supply is likely
room supply, which is an unprecedented to ease capacity constraints in the medium
level of stock. However, as the room term (between 2018 – 2019). Beyond the
supply is expected to enter the market in a short term some caution is warranted as
staggered manner (over a two to three-year the market begins to absorb the forecast
period), this should alleviate some concerns significant levels of room supply, which
of an oversupply shock. ultimately is expected to soften the current
historic high occupancies (above 80%)
with levels likely to revert in the medium to
longer term to the mid-70% range.
Note: Auckland Hotels refer to Marketwide
Source: Tourism Industry Association, Statistics New Zealand, JLL
ADR – Average daily rate, RevPAR - Revenue per available room, OCC - Occupancy
Hotel Destinations – Asia Pacific 2
Bali
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (2016) Number of New Rooms (2017)
66.4% USD 146 USD 97
4.9 million 3,892 rooms
Tourism Demand
Total visitor arrivals were 4.9 million in As of YTD March 2017, Mainland China was New notable hotels
2016, representing an increase of 22.5% Bali’s largest source marketing, contributing
compared to 2015. As of YTD March 2017, 29.6% of total visitor arrivals. This is Mövenpick Resort & Spa Jimbaran
international visitor arrivals continued followed by Australia contributing 19.8%
an upward trend, increasing 22% y-o-y to of total visitor arrivals. Mainland China Wyndham Resort Tamansari Jivva
reach 1.3 million visitors. For the full year saw the largest y-o-y increase of 58.6%, Sthala Ubud Bali
2017, the Bali Provincial Tourism Agency underscoring the burgeoning Chinese travel
is targeting approximately 40% of the demand in Asia. Despite travel advisories, Sol House Legian
targeted 15 million foreign tourist arrivals to most key source markets recorded strong
Indonesia in 2017, which is approximately growth in YTD March 2017, suggesting that
six million foreign tourists. Strong growth in foreign tourists are largely unfazed and
arrivals can be attributed to the extension are increasingly drawn to Bali as premier Upcoming hotels
of the visa waiver programme in 2015, as tourism destination.
well as the improvement in air connectivity Kempinski Nusa Dua
to key source markets such as Greater China Fairfield by Marriott Bali Legian
and Australia.
The Westin Ubud Resort & Spa
Six Senses Bali
Supply Outlook
Approximately 1,737 rooms opened in Looking forward, visitor arrivals from key
Notable hotel deals
2016, representing a 9.8% y-o-y increment. source markets are expected to continue There were no hotel transactions
Recent major openings in 2016 include rising. Recent improvements in air
in H2 2016
the 136-room Sol House Legian, the 222- connectivity from Ngurah Rai International
room Wyndham Resort Tamansari Jivva, Airport with new flight routes, ongoing
the 143-room Sthala Ubud Bali and 297- improvements in airport accessibility, and
room Mövenpick Resort & Spa Jimbaran. the extension of visa waiver programme
In 2017, approximately 3,892 rooms should fuel the continued spike in foreign
are in the pipeline. Majority of the new tourism demand in Bali. Moreover, the
supply in clustered in the luxury sector recent corporation between Indonesia and
(44.3%) followed by the upscale sector Chinese tourism authorities should provide
(34.2%). In terms of location, most will be an added boost to Indonesia’s overall
concentrated in the Nusa Dua and Uluwatu tourism sector.
areas. However, it is not unusual for several
projects to be postponed or cancelled due
to financing difficulties.
Note: Bali Hotels refers to Upscale
Source: STR Global (YTD March 2017), Bali Government Tourism Office, JLL
ADR - Average daily rate, RevPAR - Revenue per available room, OCC - Occupancy
3 Hotel Destinations – Asia Pacific
Bangkok
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (2016) Number of New Rooms (2017)
86.4% THB 3,453 THB 2,983
20.8 million 2,876 rooms
Tourism Demand
New notable hotels Bangkok received 20.8 million international Mainland China remains the biggest source
visitors in 2016, representing an increase of market to Bangkok, followed by Japan,
Ibis Bangkok IMPACT 7.5% y-o-y, as Bangkok continues to be a India and South Korea. Bangkok has seen
587 rooms top global destination after its resurgence a slowdown in growth in visitor arrivals
in 2015 from the prior year’s 2014 political from Mainland China to 5.9% growth y-o-y
Grande Centre Point Sukhumvit 55 unrest. The passing of His Majesty King in 2016 from 82.5% growth y-o-y in 2015.
442 rooms Bhumibol Adulyadej resulted in a minor This comes as the government launched
dip in arrivals which recovered quickly as a crackdown on zero-dollar tours in
ibis Styles Bangkok Sukhumvit 50
businesses return to usual. Record arrivals September, leading a q-o-q drop in Chinese
171 rooms are expected in 2017 as early-year airport arrivals. Key markets which experienced
statistics are already indicating growth. strong growth include USA (12.7%), Middle
Eastern countries (11.1%) and India (8.2%).
Upcoming hotels
The Bangkok EDITION by Ritz Carlton
Park Hyatt Bangkok
Lancaster Bangkok
Supply Outlook
Notable hotel deals Since the beginning of 2017, approximately Bangkok will continue to see strong growth
800 rooms have been added to the Bangkok in visitor arrivals with ongoing airport
Swissotel Nai Lert Park
market with another 2,100 rooms estimated expansions to increase capacity from 45
to enter the market by year-end. Over 35% million to 60 million for Suvarnabhumi
of future supply over the next four years is Airport, and from 28 million to 40 million
concentrated in the upscale segment. Key for Don Mueang Airport. Higher airport
new projects include ibis Styles Bangkok capacities are expected to translate to
Sukhumvit 50, Grande Centre Point lodging demand and absorb the oncoming
Sukhumvit 55, and ibis Bangkok IMPACT on room supply.
Chaengwattana Road.
Note: Bangkok Hotels refers to Upscale
Source: STR Global (YTD March 2017), Tourism Authority of Thailand,
Ministry of Tourism and Sports Thailand, JLL
ADR - Average daily rate, RevPAR - Revenue per available room, OCC - Occupancy
Hotel Destinations – Asia Pacific 4
Beijing
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (2016) Number of New Rooms (2017)
66.1% RMB 559 RMB 389
4.2 million 1,479 rooms
Tourism Demand
Data from Beijing’s Tourism Bureau show Beijing’s hotel demand is driven by business New notable hotels
the city’s international arrivals dropped travel as well as the tourism and MICE
0.8% y-o-y to 4.2 million at the end of (Meetings, Incentives, Conferences and Grand Metropark Hotel Beijing
2016. Visitors from South Korea and Japan Exhibitions) travel segments. Corporate 427 rooms
decreased 8.8% and 4.0% respectively, due demand remains the major demand driver.
to their slower economy and economic As Beijing is the political and commercial Grand Metropark Longxi
environment. French and German travelers centre in Mainland China, a large number of Conference Center
have also trended downwards by 12.3% corporates have set up their headquarters 346 rooms
and 2.9% respectively. The recent fall in in Beijing, generating considerable business
the euro has led to a decline on business demand. InterContinental Beijing Sanlitun
activities with Beijing’s long haul trading 300 rooms
partners. Tylfull Hotel
226 rooms
Chao Clubhouse
180 rooms
Supply Outlook Upcoming hotels
Beijing Bvlgari Hotel
Just five new hotels opened in Beijing The Beijing market will benefit from
in 2016, adding 1,479 rooms to the enhanced intercity transportation and Mandarin Oriental Beijing
market. High-profile openings included tourism infrastructure development Hualuxe Beijing Xinan Hotel
Intercontinental Beijing Sanlitun and Chao underway. Ahead of the opening of
Clubhouse, both of which are located in Universal Studios in 2020 and the 2022 The Puxuan Hotel and Spa
Sanlitun. Strict development restrictions Winter Olympics in Beijing and Zhangjiakou,
Muji Hotel Beijing
within the city centre are expected several infrastructure upgrades in and
to continue to restrain future supply. around the city will support the hotel
Compared with Shanghai, where round 26 sector, including two new highways linking
new hotels are expected to enter the market Beijing to nearby tourism destinations, such
in 2017, just nine new hotels (2,204 rooms) as Chongli, Yanqing, and Qinhuangdao.
Notable hotel deals
are planned for Beijing. Somerset ZhongGuanCun Beijing
Note: Beijing refers to Four Star hotels
Source: STR Global (YTD March 2017), Beijing’s Tourism Bureau, JLL
ADR - Average daily rate, RevPAR - Revenue per available room, OCC - Occupancy
5 Hotel Destinations – Asia Pacific
Brisbane
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (2016) Number of New Rooms (2017)
71.5% AUD 152 AUD 109
935,000 207 rooms
Tourism Demand
New notable hotels In 2016, a total of 23.1 million visitor Mainland China remains the biggest source
nights were spent in Brisbane City. market to Brisbane, followed by Korea,
Holiday Inn Express Hotel International visitor nights accounted for Taiwan and the United Kingdom. In 2016,
226 rooms 67.9% and domestic nights accounted Chinese visitor nights in Brisbane City
for 32.1%. Domestic visitor nights in grew 14.7% year-on-year and has grown
Swiss Belhotel Brisbane Brisbane increased by 5.3% y-o-y however at an average annual rate of 25.2% over
134 rooms international visitor nights in Brisbane the last 10 years. While leisure related
decreased moderately by 1.6%. demand remains the primary purpose of
Sage Hotel James Street
visit, the employment segment increased
93 rooms significantly during 2016 in Brisbane City.
Art Series Hotel - The Johnson
83 rooms
Upcoming hotels
W Hotel Brisbane
Southpoint Emporium Hotel
Adina on George Street
Supply Outlook
Westin Hotel Brisbane New supply over the second half of 2016 In the short to medium term, conditions are
in the Brisbane City market increased by likely to remain stagnant as further supply
approximately 217 rooms or an increase of enters the market. Any notable uplift in
approximately 2% on the existing stock. So performance will also be dependent on
Notable hotel deals far in 2017, two hotels have opened being the extent of recovery in the corporate
the Sage Hotel James Street and the Holiday and conference segment as well as
Jephson Hotel Inn Express Brisbane Central. Looking growth in the leisure segment. Resource
forward we are aware of a further six short sector demand may improve over the
term accommodation development current medium term with renewed investment in
under construction and due for completion mining infrastructure projects, however
between 2017 and 2019. If all projects a timeframe on these potential trends
materialise, this will represent an increase remains unclear.
of 1,376 rooms or 12% on the existing stock.
Note: Hotel supply within the Brisbane City Region
Source: STR Global (YTD March 2017), Tourism Research Australia (2016), JLL
ADR - Average daily rate, RevPAR - Revenue per available room, OCC - Occupancy
Hotel Destinations – Asia Pacific 6
Delhi
Quick Facts
OCC ADR RevPAR
International Passenger Traffic (India 2016) Number of New Rooms (2017)
83.1% INR 5,660 INR 4,702
8.9 million 540 rooms
Tourism Demand
Delhi has shown growth of 10.1% in In 2016, Delhi witnessed continued growth New notable hotels
international passenger arrivals YTD in demand– largely driven by growing
February 2017 from approximately 2.5 MICE and corporate demand, in addition Andaz Delhi
million to 2.8 million. Foreign arrivals have to improved spending capacity and the 401 rooms
recorded noticeable rises after the e-visa increased presence of low-cost air carriers.
facility was introduced, now available The newly developed Delhi Aerocity Muse Sarovar Portico
to over 150 countries, boosting leisure hospitality district with over 3,200 hotel 73 rooms
demand from foreign visitors. The new rooms, extensive banqueting space and the
visa improvements are relevant to leisure presence of significant Grade A office space,
tourism including visiting friends and has seen promising demand levels.
family, short duration medical treatment Upcoming hotels
and business visits.
Aloft New Delhi Aerocity
Holiday Inn Express & Suites Delhi
Notable hotel deals
Supply Outlook There were no hotel Transactions
in H2 2016
Andaz Delhi and the Roseate House in the The Delhi hospitality market has remained
Aerocity hospitality district have been the resilient, despite the largest supply increase
most notable hotel openings recently. that the city has seen in the recent past
Future supply in Delhi remains fairly - in the form of the Aerocity hospitality
limited due to scarcity of land and high district. While ADR levels have seen some
land prices in the city and new supply will softening due to a large volume of supply
be largely concentrated to the Aerocity in the Midscale to Upper Upscale segments,
hospitality district. The Aerocity has been demand levels have remained strong. With
a key hospitality district as its strategic hotel supply slowing and growing demand,
positioning has enabled Aerocity to absorb Delhi continues to present investors with
commercial, transit arrival and MICE a strategic entry into the gateway of the
demand from both the Delhi and Gurgaon country.
micro-markets. The Oberoi New Delhi will
be closed effective from April 1, 2016, for
major renovation and will reopen April 1 in
2018.
Note: Delhi Hotels refers to Delhi Deluxe
Source: STR Global (YTD March 2017), Airports Authority of India, JLL
ADR - Average daily rate, RevPAR - Revenue per available room, OCC - Occupancy
7 Hotel Destinations – Asia Pacific
Hanoi
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (2016) Number of New Rooms (2017)
85.2% USD 113 USD 96
4.0 million 843 rooms
Tourism Demand
New notable hotels In 2016, Hanoi saw four million international Top source markets to Vietnam include
visitor arrivals, up an impressive 21.2% Mainland China, South Korea, Japan and
Novotel Suites Hanoi y-o-y, and exceeding Vietnam National the USA. While continuing its promotional
151 rooms Administration of Tourism’s (VNAT) initial efforts in Japan, Hanoi also aims to expand
expectations of 3.8 million. This represents its market in Russia and France through
a five-year Combined Annual Growth Rate cooperation with international agencies and
(CAGR) of 16.1% from 2011 to 2016. As of diplomatic representatives. In its tourism
Upcoming hotels March 2017, the city has seen six million drive, Hanoi will position itself as a cultural
visitors, a 7% y-o-y growth, of which over destination for its food culture and well-
Novotel Ciputra Hanoi one million are international visitors. preserved relic sites.
Novotel Hanoi Thai Ha
Somerset West Point Hanoi
Notable hotel deals
There were no hotel transactions
in H2 2016
Supply Outlook
In 2016, just over 200 new rooms were The VNAT continues to strongly market
added to the Hanoi hotel market in addition Hanoi as a cultural destination through an
to rebranded supply, however 2017 expects advertising campaign with CNN across its
to see a much larger addition with over 800 international network. The campaign will
branded hotel rooms to enter the market run on both CNN’s on air and online media
by year-end. A further 2,000 rooms will be from 2017 to 2018. In addition to ongoing
launched by 2020. Between 2017 and 2020, initiatives within Hanoi, to further enhance
almost 60% of new room supply or 1,700 its tourism offerings, Hanoi looks to link its
rooms will be in the luxury segment. tourism coordination with other northern
localities to lengthen international length
of stay. With VNAT’s initiatives expected
to drive the increase in visitor arrivals the
outlook for the market remains positive.
Note: Hanoi hotels refers to Marketwide
Source: STR Global (YTD March 2017), Vietnam National Administration of Tourism, JLL
ADR - Average daily rate, RevPAR - Revenue per available room, OCC - Occupancy
Hotel Destinations – Asia Pacific 8
Ho Chi Minh City
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (2016) Number of New Rooms (2017)
75.7% USD 117 USD 89
5.2 million 1,007 rooms
Tourism Demand
International arrivals to Ho Chi Minh Key source markets to Vietnam include New notable hotels
City reached 5.2 million in 2016, a 10.6% Mainland China, South Korea, Japan and
growth y-o-y exceeding the government’s the USA. While continuing its promotional Ibis Saigon Airport
initial expectations of an 8.5% increase. efforts in Japan, Ho Chi Minh City also aims 282 rooms
Between 2011 and 2016, the city registered to expand new markets, targeting Russia
a Compound Annual Growth Rate (CAGR) and India as future growth markets as the
of 10.9%. The growth comes as the city city looks to grow international arrivals
stepped up its efforts to enhance arrivals to near six million in 2017. The domestic Upcoming hotels
and average spending with more festivals market relies on the city as a key economic
with a focus on culture and eco-tourism and recreational hub with 21.8 million Ascott Waterfront Saigon
as well as attending travel marts and visitors in 2016, and 24 million targeted for
Ritz-Carlton Saigon
roadshow overseas. this 2017.
Starcity Airport Hotel
Notable hotel deals
There were no hotel Transactions
Supply Outlook in H2 2016
2016 saw 703 new rooms added to the Named by Conde Nast Traveler as among
market. As the city gains traction as an the 50 most beautiful cities in the world,
international tourist destination, over 3,500 Ho Chi Minh City is fast becoming an
rooms are expected to be added to the international tourist destination as the
market by 2020, with 1,000 keys expected government continues to focus efforts on
in 2017. While much of the existing marketing as well as improving tourist
international and locally branded hotels are attractions and safety. With ongoing
in the Upscale (35.4%) and Midscale (27.8%) upgrading of museums and approval for
segments, upcoming additions (2017-2020) a safari and Saigon Cultural and Tourism
are concentrated in the Luxury (48.4%) Village, the People’s Committee is
and Upscale (42.4%) segments. Notable developing a tourism development strategy
openings in 2016 include ibis Saigon Airport through to 2030 and beyond to ensure
in Tan Binh District and Bay Hotel Ho Chi sustainable tourism development.
Minh in District 1.
Note: Ho Chi Minh City Hotels refers to Marketwide
Source: STR Global (YTD March 2017), Vietnam National Administration of Tourism, JLL
ADR - Average daily rate, RevPAR - Revenue per available room, OCC - Occupancy
9 Hotel Destinations – Asia Pacific
Hong Kong
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (2016) Number of New Rooms (2017)
83.7% HKD 1,755 HKD 1,469
56.7 million 1,022 rooms
Tourism Demand
New notable hotels Total visitor arrivals declined 4.5% in 2016 Mainland China is Hong Kong’s largest
compared to 2015 mainly due to the sharp source market, contributing 75.5% of all
Silka Tsuen Wan decline of same-day visitors from Mainland total visitor arrivals in 2016. Over the same
409 rooms China. In April 2015, the Mainland restricted period, the number of overall visitors from
Shenzhen permanent residents to just Mainland China continued to fall, down by
Attitude on Granville one entry per week, which has largely 6.7% y-o-y to 42.8 million arrivals. This can
81 rooms contributed to the same-day visitor decline be attributed to the socio-political tension,
of 8.7% y-o-y. On the other hand, the rate stronger local currency, tightened visa
of decline in total overnight visitor arrivals policy for Shenzhen visitors, and increasing
has slowed from being down 5.2% in 2015 competition from other destinations
Upcoming hotels to 0.5% in 2016, showing signs that we are such as Japan and South Korea, which
beginning to see improvement in Mainland drew significantly more visitors from the
Kerry Hotel by Shangri-La arrivals. Mainland.
Disney’s Explorer’s Lodge
Rosewood Hong Kong
The Murray, a Niccolo Hotel
Notable hotel deals
Supply Outlook
Newton Place Hotel Kwun Tong Approximately 888 rooms have been The increase in supply and economic
added into the market last year, most of uncertainties are expected to limit growth
Rosedale Causeway Bay which are small to medium sized midscale/ in hotel performance. 2016 has set the
economy properties in Hong Kong Island stage for a relatively uncertain 2017,
J Plus Hong Kong and Kowloon. So far in 2017, two hotels with ‘Brexit’ expected to limit European
have opened, Attitude on Granville with 81 visitors. As a major corporate hub, Hong
rooms, and the Silka Tsuen Wan with 409 Kong is always affected by global economic
rooms. Approximately 6,000 rooms remain concerns and this remains still in recovery.
in the pipeline. Notable openings are: However, we are cautiously optimistic that
Disney’s Explorer’s Lodge with 750 rooms, hotel performance is likely to return to
Rosewood Hong Kong in Tsim Sha Tsui with stabilised levels over the medium term, as
600 rooms, the Kerry Hotel by Shangri-La Hong Kong has proven itself to be a resilient
with 545 rooms, and The Murray, a Niccolo city on the back of its multi-faceted appeal
Hotel with 336 rooms. for FIT, leisure, corporate as well as MICE-
related demand. It is however increasingly
competing with cheaper Shanghai for the
latter.
Note: Hong Kong refers to Upscale hotels
Source: STR Global (YTD March 2017), Hong Kong Tourism Bureau, JLL
ADR - Average daily rate, RevPAR - Revenue per available room, OCC - OccupancyHotel Destinations – Asia Pacific 10
Jakarta
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (2016) Number of New Rooms (2017)
53.8% USD 166 USD 89
2.4 million 3,193 rooms
Tourism Demand
As of YTD February 2017, international Despite the recent terror attacks in Jakarta New notable hotels
visitor arrivals rose by 17.5% y-o-y to reach in January 2016, overall tourism demand
373,219 visitors. Strong y-o-y growth from continued its upward trend, underpinned Westin Jakarta
2016 underpinned the recovery in tourism by strong corporate demand. This is 272 rooms
confidence following the bombing attacks attributed to the fact that Jakarta remains
in the Indonesian capital in January 2016, a key business gateway into Indonesia, Mercure Jakarta Cikini
particularly amongst foreign tourists. which holds huge economic potential. This 207 rooms
Continued benefits arising from the should continue to attract international
Four Points by Sheraton
extension of the visa waiver programme and domestic corporate demand into the
to an additional 45 countries in 2015 also city. However, ongoing global uncertainty, Jakarta Thamrin
contributed to overall visitor growth. coupled with terrorism concerns, should 164 rooms
continue to weigh on tourists’ minds. Four Seasons Hotel Jakarta
125 rooms
Upcoming hotels
Supply Outlook
Swiss-Belhotel Resuna Epicentrum
Holiday Inn Simutupang
Swiss-Belhotel Kelapa Gading
Approximately 1,334 rooms opened in Continued tourism promotion efforts by the
2016, representing y-o-y increment of 2.3%. Ministry of Tourism through its “Wonderful InterContinental Pondok Indah
Majority of the hotel openings were in the Indonesia” campaign is expected to
Central region. Major openings in 2016 improve visitation into Indonesia. With
include the 125-room Four Seasons Hotel tourism identified as a key economic
Jakarta, the 272-room Westin Jakarta, the driver, coupled with ongoing infrastructure Notable hotel deals
207-room Mercure Jakarta Cikini and the projects, the tourism sector should expect
125-rooms Four Points by Sheraton Jakarta to get an added boost. Approximately 9,786 There were no hotel transactions
Thamrin. In 2017, approximately 3,193 rooms are in the pipeline from 2017-2020 in in H2 2016
rooms are in the pipeline. Notable openings Jakarta.
in 2017 include the 312-room Swiss-Belhotel
Kelapa Gading, the 323-room Swiss-Belhotel
Resuna Epicentrum, the 316-room Holiday
Inn Express Simatupang and the 300-room
InterContinental Pondok Indah.
Note: Jakarta Hotels refers to Upscale
Source: STR Global (YTD March 2017), Singapore Tourism Board, JLL
ADR - Average daily rate, RevPAR - Revenue per available room, OCC - Occupancy11 Hotel Destinations – Asia Pacific
Kuala Lumpur
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (Malaysia 2016) Number of New Rooms (2017)
68.7% MYR 537 MYR 369
26.8 million 2,771 rooms
Tourism Demand
New notable hotels Total international visitor arrivals to Kuala Lumpur is predominantly a corporate
Malaysia reached 26.8 million in 2016, market with strong weekday business, but
St Regis Kuala Lumpur an increase of 4.0% compared to 2015. relatively little leisure demand and lower
208 rooms Tourism receipts rose by 18.8% y-o-y to MYR weekend occupancy. Singapore was the
82.1 billion compared to MYR 69.1 billion top source market to Malaysia in 2016 and
Sunway Pyramid Hotel West in 2015. Tourism Malaysia is targeting a accounted for 13.3 million or 49.6% of all
401 rooms total of 31.8 million international tourist international tourist arrivals to Malaysia, an
arrivals in 2017 with tourism receipts increase of 2.6% y-o-y. Second to Singapore
of MYR 118 billion. Malaysia’s stronger was Indonesia with 3.0 million arrivals, an
tourism performance in 2016 is attributed increase of 26.7% and thirdly Mainland
Upcoming hotels to improved flight accessibility as well as China with 2.1 million arrivals, a significant
currency depreciation making it a more growth of 9.4% y-o-y.
Element Kuala Lumpur affordable destination for international
W Hotel Kuala Lumpur tourists. By 2020, the vision is to achieve 36
million tourist arrivals and MYR 168 billion
Four Seasons Place Kuala Lumpur in tourism receipts.
Fairmont Kuala Lumpur
Supply Outlook
Alila Bangsar
Notable hotel deals Approximately 2,200 rooms opened in 2016, Over supply of hotel rooms remains a
an increase of 5.3% y-o-y. New openings key concern in Kuala Lumpur despite
There were no hotel Transactions in 2016 include the 383-room Holiday Inn the Malaysian governments continued
in H2 2016 Express Kuala Lumpur City Centre, the 247- commitment to promoting the city as a
room Oasia Suites Kuala Lumpur, the 208- key MICE destination. It is estimated that
room St Regis in KL Sentral and the 347- approximately 9,000 new hotels rooms are
room The Cosmos Hotel Kuala Lumpur in the pipeline between 2017 and 2022, 33%
along Jalan Ampang. The majority of the of which will be in the luxury segment and
new supply, or 72%, was in the midscale a further 62.4% in the upscale segment.
segment, with the St Regis the only new While not all of this supply is guaranteed,
luxury hotel to open in 2016. it is a concern for a city which is already
experiencing significant pressure on rates
and occupancy.
Note: Kuala Lumpur Hotels refers to Luxury and Upscale
Source: STR Global (YTD March 2017), Tourism Malaysia, JLL
ADR - Average daily rate, RevPAR - Revenue per available room, OCC - OccupancyHotel Destinations – Asia Pacific 12
Macau
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (2016) Number of New Rooms (2017)
85.2% MOP 1,372 MOP 1,169
31 million 2,000 rooms
Tourism Demand
In 2016, international visitor arrivals to With a total of 20.5 million visitor arrivals New notable hotels
Macau stayed relatively flat, improving recorded in 2016, Mainland China remained
by 0.8% y-o-y to 31.0 million. The gaming Macau’s top source market, contributing The Parisian
industry showed signs of recovery with data 66.1% to total visitor arrivals. Following a 3,000 rooms
released by Macau’s Gaming Inspection drastic fall in 2015, the Mainland Chinese
and Coordination Bureau recording gross market gained some momentum in Wynn Palace
gaming receipts rising 3.1% to MOP 19.3 December 2016, growing by 7.8% compared 1,700 rooms
billion in January 2017. to December 2015, ending the year with a
0.2% negligible improvement.
Upcoming hotels
The 13
MGM Cotai
Lisboa Palace
Palazzo Versace Macau
Supply Outlook
Roosevelt Hotel Macau
According to the Macau Government Macau’s economy is driven by the gaming Notable hotel deals
Tourism Office, total hotel rooms in Macau sector. However, casino operators are
amounted to 37,634 rooms with a 13.9% keen to diversify into other non-gaming There were no hotel Transactions
increase in supply compared to 2015. The sectors including theme parks, sporting and in H2 2016
growth in supply was contributed mainly other entertainment options as well as the
by two major hotel openings in 2016: Wynn international MICE market. To attract more
Palace (1,700 rooms) and at almost double visitors, the government is also improving
the size Parisian (3,000 rooms). Upcoming infrastructure including the development of
major supply additions include MGM Cotai the Taipa Ferry Terminal, the Macau Light
(1,500 rooms) scheduled to open during the Rapid Transit and the development of a
second half of 2017, and the ultra-luxury large scale integrated development zone
hotel “The 13” (200 suites) scheduled to with strong finance, technology, and leisure
open in early 2017. generators on Hengqin Island.
Note: Macau refers to Marketwide hotels
Source: STR Global (YTD March 2017), Macao Government Tourism Office, Gaming Inspection &
Coordination Bureau Macau, JLL
ADR - Average daily rate, RevPAR - Revenue per available room, OCC - Occupancy13 Hotel Destinations – Asia Pacific
Maldives
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (2016) Number of New Rooms (2017)
69.0% USD 843 USD 582
1.3 million 1,316 rooms
Tourism Demand
New notable hotels In 2016, the Ministry of Tourism launched As the leading source market to the
the ‘Visit Maldives Year 2016’ campaign, Maldives, Mainland China made up about
Amilla Finolhu aiming to attract 1.5 million international 29.1% of total visitor arrivals in 2015,
125 rooms visitors for the first time. As part of the approximately three and a half times that
campaign, the government conducted of the second largest source market,
Amari Havodda various national and international Germany. Growth in the Mainland Chinese
120 rooms activities to strengthen the Maldives’ market has been remarkably fast over the
brand and market the country as an past few years, from 60,666 visitors in 2009
Furaveri Island Resort & Spa
exclusive destination. to 324,326 in 2016. The latest tourism
105 rooms numbers indicate that while Mainland
Atmosphere OZEN China remains the leading source market,
90 rooms comprising 20.2% of the market as at
YTD March 2017, overall arrivals fell by
Four Seasons Voavah Private 7.8% y-o-y.
7 rooms
Upcoming hotels
Zitahli Resort & Spa
(to be rebranded to Noku)
Supply Outlook
According to the Ministry of Tourism, a total Despite the challenging macro environment,
JW Marriott Maldives of 122 resorts with 26,089 beds, 16 hotels the Maldives government remains
Centara Hudhufushi Resort & Spa with 1,713 beds, 373 guest houses with committed to growing and investing in its
5,509 beds and 142 safari vessels with 2,608 tourism market. The Maldives Marketing
Pullman Maldives beds were registered in the Maldives as at & Public Relations Corporation launched
October 2016. Of the registered capacity, the ‘Visit Maldives Year 2016’ marketing
Cheddi Dhapparu 28,052 beds are considered operational, campaign early this year and has organised
comprising 24,516 beds in 114 resorts, a series of trade road shows in Tier One
1,509 beds in 13 hotels, 929 beds in 58 cities in India such as New Delhi, Bangalore,
Notable hotel deals guest houses and 1,098 beds in 63 vessels.
New hotel openings in the Maldives are
Kolkata, Mumbai and Chennai. Looking
forward, while the operating market is
Grand Park Kodhipparu less common compared to city or other likely to be challenging in the short term,
established resort destinations because we expect that increased marketing
J Resorts Kuda Rah of the high cost of construction and level campaigns, ongoing tourism infrastructure
of expertise required in operating a resort. improvements and increased airlift from
Zitahli Kuda Funafaru Resort & Spa
Nevertheless, we are aware of five openings other markets will benefit the medium to
in 2015 and a further ten in 2016, adding long term prospects of the Maldives.
1,316 rooms to supply.
Note: Maldives Hotels refers to Marketwide
Source: STR Global (YTD March 2017), Ministry of Tourism, Arts & Culture, JLL
ADR - Average daily rate, RevPAR - Revenue per available room, OCC - OccupancyHotel Destinations – Asia Pacific 14
Manila
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (Philippines 2016) Number of New Rooms (2017)
70.6% USD 107 USD 75
5.9 million 3,101 rooms
Tourism Demand
Total international visitor arrivals to the As at YTD February 2017, South Korea is the New notable hotels
Philippines reached 5.8 million in 2016, an biggest visitor-generating market to the
increase of 12.9% compared to 2015. As at Philippines, with total arrivals of 0.3 million, Shangri-La at The Fort
YTD February 2017, international visitor or 25.2%, of the total. The USA is the second 576 rooms
arrivals reached 1.2 million, an increase largest market, followed by Mainland China,
of 13% y-o-y. Tourism activities as at Japan and Australia. Among the top ten Novotel Manila Araneta Center
YTD February 2017 generated earnings source markets, India showed the highest 396 rooms
amounting to PHP 40.1 billion, down by growth of 28% y-o-y followed by Mainland
Conrad Manila
18.9% y-o-y from the 49.4 million achieved China at 25.4% y-o-y. Other markets which
in the corresponding period of the previous enjoyed substantial growth were Vietnam 347 rooms
year. Regionally, East Asia contributes the (+30.0%) and European countries such as Marriott West Wing –
majority of international visitor arrivals to France (+27.6%) and Russia (+29.2%). Resort World Manila
the Philippines, accounting for 52.6% as at
228 rooms
YTD February 2017, or 0.6 million.
Upcoming hotels
Supply Outlook
Okada Manila
Grand Hyatt Manila
Approximately 2,429 rooms opened in 2016, Manila remains attractive to both the Sheraton Manila
an increase of 7.3% y-o-y. New openings corporate and leisure markets given its Savoy Hotel Newport City
in 2016 included the 576-room Shangri- status as a hub for the BPO sector and the
La at the Fort in Bonifacio Global City, the rapidly developing integrated resorts in Mandarin Oriental Manila
347-room Conrad Manila at the Mall of the Manila Bay area. Belle Corp recently
Asia Complex, Phase 2 of the Marriott West announced that it is considering an
Wing at Resorts World Manila, which added extension of the City of Dreams, Manila
228-rooms to the existing hotel and the 396- integrated casino resort as it is currently Notable hotel deals
room Novotel Manila Araneta Center. In operating at full capacity. Belle Corp has
March 2017, the Okada Manila celebrated an 8,500 square metre piece of land across There were no hotel transactions
its grand opening, and the USD 2 billion from the City of Dreams that could serve in H2 2016
integrated resort casino will house over 500 as a non-gaming expansion of the resort.
table games, more than 3,000 electronic The continued development of the gaming
gaming machines and 993 hotel rooms. industry in Manila will help attract more
leisure demand and transform the local
tourism industry.
Note: Manila Hotels refers to Marketwide
Source: STR Global (YTD March 2017), Philippines Department of Tourism, JLL
ADR - Average daily rate, RevPAR - Revenue per available room, OCC - Occupancy15 Hotel Destinations – Asia Pacific
Melbourne
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (2016) Number of New Rooms (2017)
88.3% AUD 218 AUD 192
1.7 million 273 rooms
Tourism Demand
New notable hotels In 2016, a total of 36 million visitor nights Mainland China is Melbourne’s largest
were spent in Melbourne City representing source market, contributing 31.9% of
Four Points by Sheraton 6.1% of all visitor nights in Australia. all international visitor arrivals in 2016.
273 rooms International visitor nights accounted for Melbourne’s calendar of major global events
64.5% and domestic nights accounted for and international conference program
QT Hotel Melbourne 35.5%. Domestic visitor nights in Melbourne is a draw card for visitors to the city and
184 rooms increased by 11.1% y-o-y and international has contributed to the growth in the
visitor nights in Melbourne increased by accommodation market. A strong calendar
Punthill Northbank Melbourne
3.8% y-o-y. of international events in the second
130 rooms half of the year, including the Melbourne
Stamford Plaza Melbourne Extension International Film Festival, AFL Grand Final
26 rooms as well as Melbourne Cup Carnival and
Boxing Day Test Match saw leisure demand
increase over the balance of the year.
Upcoming hotels
Ibis & Novotel Little Lonsdale Street
Novotel Southbank Melbourne
W Hotel Melbourne
Supply Outlook
During H2 2016, approximately 340 rooms Melbourne’s accommodation market has
were added into the market, including experienced a robust level of growth over
Punthill Northbank Melbourne (130 guest the last five years capitalising on the city’s
Notable hotel deals rooms), the QT Hotel Melbourne (184 guest extensive calendar of events and the closure
Novotel on Collins rooms) as well as the completed extension of the Sydney Convention and Exhibition
of the Stamford Plaza Melbourne (26 guest Centre between 2014 and 2016. Melbourne
Hilton South Wharf rooms). So far in 2017, the Four Points City also has a long history of investment in
by Sheraton Docklands is the only hotel tourism and transportation infrastructure
Travelodge Docklands
that has opened. Looking forward we are as well as successfully marketing of the city
aware of five short term accommodation nationally and globally. Notwithstanding
developments currently under construction this, the underlying market buoyancy of
and due for completion by 2020. If all recent years is anticipated to moderate
projects materialise, this will represent slightly over the medium term as the
an increase of 1,498 rooms of 7.6% on the development pipeline continues to build.
existing stock.
Note: Hotel supply within the Melbourne City Region
Source: STR Global (YTD March 2017), Tourism Research Australia, JLL
ADR - Average daily rate, RevPAR - Revenue per available room, OCC - OccupancyHotel Destinations – Asia Pacific 16
Osaka
Quick Facts
OCC ADR RevPAR
International Accommodation Guests (2016) Number of New Rooms (2017)
78.9% JPY 23,035 JPY 18,170
9.4 million 164 rooms
Tourism Demand
In 2016, a total of 15.6 million visitor nights International demand remained strong in New notable hotels
were spent in Osaka City. The number of Osaka in 2016, although growth has slowed
international accommodation guests which as compared to 2015, mainly driven by the Premier Hotel Cabin Osaka
accounts for around one third of total JPY appreciation trend that started in the (Rebranded)
accommodation guests in Osaka, increased second half of 2015. Airbnb has definitively 240 rooms
by 22.8% y-o-y. The number of domestic made an impact on the local hotel market.
accommodation guests also increased by According to a recent Airbnb press release, Natural Hot Spring Onyado
5.4%. New rides added to Universal Studios Osaka prefecture recorded the highest Nono Namba
Japan (USJ) as well as seasonal exhibitions usage rate in Japan last year. 168 rooms
and events have benefited the tourism
industry in Osaka. Conrad Osaka
164 rooms
Hotel Trad
47 rooms
Upcoming hotels
Supply Outlook Hotel WBF Yodoyabashi Minami
According to Japan Ministry of Health, In January 2017, a new terminal designated
Labour and Welfare, hotel and ryokan for low cost carriers commenced operation Notable hotel deals
supply in Osaka City accounted 678 at Kansai International Airport and it
properties (59,272 rooms) as at March 2016. is expected to boost incoming tourism Hyatt Regency Osaka
There have been limited new additions numbers. The supply pipeline remains
to supply of full-service hotels however, limited with the bulk of new hotels Hotel Vista Grande Osaka
there were approximately 450 new and categorised as limited-service hotels.
refurbished rooms that commenced Osaka is expected to witness flat trading
trading. performance in 2017 as international
tourism growth is expected to be the
same, coming of a strong 2015-16 that
was unsustainable after visa restrictions
on countries including China were lifted
causing record inbound numbers.
Note: Osaka Hotels refers to Marketwide
Source: STR Global (YTD March 2017) Japan Tourism Agency, JLL
ADR - Average daily rate, RevPAR - Revenue per available room, OCC - Occupancy17 Hotel Destinations – Asia Pacific
Phuket
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (2016) Number of New Rooms (2017)
87.9% THB 5,131 THB 4,512
4.0 million 950 rooms
Tourism Demand
New notable hotels International visitor arrivals through Phuket In 2016, Mainland China, Russia and
International Airport reached 4 million Australia remained Phuket’s top three
Fishermen's Harbour Urban Resort visitors in 2016, recording an improvement source markets, according to arrivals
389 rooms of 15% over 2015. The resurgence of passing through immigration at Phuket
Russian visitors was a key driver in tourist International Airport. Despite continuing
Wyndham Grand Phuket arrivals. Further growth is expected in 2017 to account for almost 40% of international
214 rooms with airport statistics already indicating arrivals through Phuket, Mainland China
growth in the early months of the year. In showed slower growth compared to
Hyatt Place Phuket Patong
September 2016, the expansion of Phuket previous years as a result of the year-end
161 rooms International Airport was completed which crack down on zero dollar tours. The fastest
increased capacity from 6.5 million to 12.5 growing source market was Russia, as
million per year. visitor arrivals saw a resurgence, improving
47.4% y-o-y in 2016.
Upcoming hotels
Rosewood Phuket
The Hermitage Kata Phuket
Mövenpick Resort Mai Khao Phuket
(Formerly D Varee Mai Khao Beach
Phuket Resort) Supply Outlook
During 2017, approximately 950 rooms are Despite the halt on zero-dollar tours by
expected to enter the market, of which 101 the Thai authorities, the increase in the
Notable hotel deals rooms have been completed as at March number of high-value Chinese independent
2017. The west coast (including Patong, travellers and the growth of the niche
Boathouse Resort on Kalim and Kamala) remains the most honeymoon market as well as a resurgence
the Beach Phuket popular location for new developments, of the Russian market have all kept the
comprising approximately 60% of future island’s tourism industry positive. With
supply between 2017 and 2020. the rise of these new markets, we expect
Phuket to benefit from a positive outlook
with limited new supply.
Note: Phuket Hotels refers to Marketwide
Source: STR Global (YTD March 2017), Department of Tourism Thailand,
Ministry of Tourism and Sports Thailand, JLL
ADR - Average daily rate, RevPAR - Revenue per available room, OCC - OccupancyHotel Destinations – Asia Pacific 18
Seoul
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (South Korea 2016) Number of New Rooms (2017)
71.7% KRW 95,172 KRW 68,284
17.2 million 1,362 rooms
Tourism Demand
Total visitor arrivals to South Korea were As of YTD March 2017, Mainland China New notable hotels
17.2 million in 2016, representing an remained as Seoul’s largest source market,
increase of 30.3% compared to 2015. As contributing 40.9% of total visitor arrivals. Courtyard by Marriott Namdaemun
of YTD March 2017, international visitor This is followed by Japan contributing 409 rooms
arrivals increased 3.2% y-o-y to reach 3.7 16.1% of total visitor arrivals. Most of the
million visitors. Improving visitor arrivals key source markets experienced y-o-y Nine Tree Myeongdong II
in 2016 were largely attributed to the growth in YTD March 2017. The exceptions 408 rooms
record influx of Chinese tourists, buoyed by were Mainland China and Hong Kong, which
Shilla Stay Guro
concerted marketing efforts and the easing registered decreases of 9.2% and 3.8%
of visa rules to target a growing group of respectively. The significant fall in Chinese 310 rooms
Chinese independent tourists. The ongoing tourists underscore the negative impact on Aloft Seoul Myeongdong
difference of opinion between South Korea South Korea’s tourism sector arising from 223 rooms
and Mainland China over the deployment the ongoing THAAD dispute, in which Beijing
of THAAD missile system has drastically recently banned its travel agencies from
affected relations between both countries, offering travel packages to South Korea in
resulting in a significant fall in Chinese March 2017. Upcoming hotels
tourism demand.
Lotte Signiel Hotel Seoul
Supply Outlook Ramada Encore Seoul Magok
Four Points by Sheraton
Seoul Gangnam
According to JLL estimates, approximately Investors continue to pay close attention
3,588 rooms opened in 2016, representing to the ongoing THAAD dispute, which
a 5.9% y-o-y increment. Most of the recent could undermine stability in the region.
hotel openings were concentrated in the
Myeongdong area. Recent openings include
Considering that Mainland China is the
largest source market to South Korea,
Notable hotel deals
the 430-room Lotte City Hotel Myeongdong, any changes in relations between both Conrad Seoul
the 409-room Courtyard by Marriott Seoul countries is bound to have a ripple effect on
Namdaemun, the 576-room Tmark Grand South Korea’s tourism sector. Nevertheless, Belle Essence Hotel Seoul
Hotel Myeongdong and 408-room Nine Tree local tourism and hospitality businesses
Solaria Nishitetsu Seoul
Myeongdong II. In 2017, approximately which have overly relied on Chinese visitors
1,362 rooms are in the pipeline. are currently reassessing developments,
looking to attract more visitors from other
countries and promoting domestic travel.
Note: Seoul Hotels refers to Midscale & Economy
Source: STR Global (YTD March 2017), Seoul Tourism Board, JLL
ADR - Average daily rate, RevPAR - Revenue per available room, OCC - Occupancy19 Hotel Destinations – Asia Pacific
Seychelles
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (2016) Number of New Rooms (2017)
66.8% USD 333 USD 222
303,000 127 rooms
Tourism Demand
New notable hotels With the benefit of improving flight Last year, the top three source markets
connectivity, Seychelles Tourism Board’s remained France (14.2%), Germany (13.0%)
Carana Beach strategy to focus on Asia to decrease and UAE (7.9%). France has traditionally
40 rooms reliance on the European market has been one of the largest source markets to
worked well, evidenced by the healthy Seychelles due to its historical connection
Six Senses Zil Pasyon growth in Indian and Mainland Chinese and similar cultural tradition. However,
30 rooms visitor arrivals in the past five years. In due to France’s sluggish economy and the
2016, the Indian and Mainland Chinese cancellation of direct flights in 2011, the
The Oasis Hotel & Restaurant
source markets comprised together French source market has been stagnant
30 rooms approximately 8.5% of total visitor arrivals, in the past five years. However, with the
which is a slightly higher proportion introduction of direct flights from Paris to
compared to 2015, when the two source Mahé in 2015, the French source market
markets combined comprised 7.8%. grew to 40,297 visitor arrivals.
Upcoming hotels
Four Seasons Desroches Island
Notable hotel deals
There were no hotel transactions Supply Outlook
in 2016
According to the Seychelles Tourism Although Seychelles has not achieved
Board, there are around 35 large hotels the same level of tourism growth as the
with 2,360 hotel rooms as at end of 2016. Maldives over the past few years, the
Most of the hotels are concentrated on country has the potential to improve in the
Mahé and Praslin, where air access is short to medium term. Improvements in
easier due to the presence of airports. air infrastructure and accessibility will be
In the past, the Seychelles hotel market critical to its success, as evidenced by the
supply has been dominated by small new direct flights to Paris and Mainland
owner-operated properties. However, China having generated a significant
in recent years, there has been a increase in international visitor arrivals. A
proliferation of international branded likely impediment for tourism demand in
hotels, approximately 44.8% of the large Seychelles would be the spill over effect
hotel rooms are brand affiliated. Some of ‘Brexit’ on the European economy,
of the international brands include especially given the country’s reliance on
Le Meridien, Four Seasons, Hilton, European source markets. However, the
Avani, Raffles, Berjaya, Banyan Tree increased emphasis on the Asian and Middle
and Six Senses. Eastern source markets, coupled with
continued developments in infrastructure
and airlift, are likely to benefit trading
performance going forward.
Note: Seychelles Hotels refers to Marketwide
Source: STR Global (YTD December 2016), Seychelles Tourism Board, JLL
ADR - Average daily rate, RevPAR - Revenue per available room, OCC - OccupancyHotel Destinations – Asia Pacific 20
Shanghai
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (2016) Number of New Rooms (2017)
65.8% RMB 560 RMB 539
8.5 million 5,428 rooms
Tourism Demand
The rate of growth in international arrivals Shanghai’s hotel demand is mainly driven New notable hotels
has continued its positive trajectory. Data by the corporate sector. Shanghai is one of
from Shanghai’s Tourism Bureau show the Yangtze River Delta’s major commercial InterContinental Shanghai National
the city’s international arrivals climbed centers, and business travel is the dominant Exhibition & Convention Center
6.8% y-o-y to 8.5 million at the end of 2016. source of hotel demand, thanks to a steady 543 rooms
Although economic and trading activities stream of visitors involved in the city’s
softened in major Asian source markets, finance and service industries. The recent Disneyland Hotel-Luxury
visitors to Shanghai grew including a 13.1% opening of Shanghai Disney Resort has 420 rooms
increase from South Korea and a 3.1% been a boon for strong growth in domestic
rise from Japanese visitors. This again tourism in Shanghai and becoming a major Sofitel Shanghai Macorlink Hotel
proves Shanghai’s leading position as a drawcard for regional visitors as well. 360 rooms
core trading and financial hub across the Wanda Reign Shanghai
Mainland.
300 rooms
Le Meridien Shanghai Minhang
240 rooms
Supply Outlook Upcoming hotels
Bvlgari Shanghai
In 2016, a total of 18 hotels positioned in the Although Shanghai foresees an influx
upscale and midscale levels commenced of room additions in the short term, we W Shanghai the Bund
trading, largely driven by the opening of expect trading performance to be driven by The Shanghai Tower J Hotel
Shanghai Disney Resort. Soon, Shanghai demand generated by fast city development
will overtake the previous 2010 supply peak, including the expansion of city’s sub-centers The St. Regis Shanghai Jingan
the year when Shanghai Expo was held. and entertainment precincts including Polar
From 2017 onwards, approximately 14,000 Ocean World and a potential Lego Land
Edition Shanghai
rooms will be added to the market over project. New projects are concentrated in
consecutive years, registering 21% growth peripheral areas such as Jiading, Songjiang
on existing supply. and Chongming so we expect some
pressure on room rates in the outer areas of
Notable hotel deals
Shanghai over the next few years. Starway Parkview South Station
Hotel (70%)
Amenity Garden
The Mosaic Collection Grand
Pujian Residence
Rainbow Plaza Shanghai
Note: Shanghai refers to Four Star hotels
Source: STR Global (YTD March 2017), Shanghai’s Tourism Bureau, JLL
ADR - Average daily rate, RevPAR - Revenue per available room, OCC - Occupancy21 Hotel Destinations – Asia Pacific
Singapore
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (2016) Number of New Rooms (2017)
85.3% SGD 252 SGD 215
16.4 million 2,413 rooms
Tourism Demand
New notable hotels Total visitor arrivals reached a historic As of YTD February 2017, Mainland China
high of 16.4 million in 2016, representing was Singapore’s largest source market,
JW Marriott Hotel Singapore South an increase of 7.7% compared to 2015. contributing 21.4% of total visitor arrivals.
Beach (Rebranded) As of YTD February 2017, international Mainland China also registered the largest
634 rooms visitor arrivals continued an upward trend, y-o-y increase of 15.5%. This is followed
increasing 3.4% y-o-y to reach 2.8 million by Indonesia which contributed to 16.3%
Holiday Inn Express Singapore Katong visitors. Continued visitor growth was of total arrivals. This is mainly the result
451 rooms driven primarily by the stronger showing of improved marketing efforts in these
from Mainland China, which is now the markets, especially in the Tier 1 and 2 cities
Mercure Singapore Bugis largest source market. This comes as of China, India and Indonesia. Positive
395 rooms Singapore continues to benefit from the growth in these markets helped offset the
Park Hotel Farrer Park ongoing marketing efforts by the Singapore decline in visitor arrivals in other key market
Tourism Board (STB) in Tier 1 and 2 cities of such as Malaysia, Australia, South Korea and
300 rooms
China, India and Indonesia. Japan, where currency depreciation and
Warehouse Hotel weak economic sentiments have impacted
37 rooms travel demand.
Upcoming hotels
Yotel Orchard Road
Supply Outlook
According to STB, Singapore’s room In 2017, STB forecasts zero to moderate
Andaz Singapore inventory comprised a total of 63,850 growth in visitor arrivals and tourism
InterContinental Singapore licensed rooms in 2016. Approximately receipts, targeting visitor arrivals of
4,456 rooms opened last year, a 7.6% between 16.4 million and 16.7 million. The
Robertson Quay
increment over 2015. Majority of the hotel larger hotel supply pipeline may impact
Sofitel Singapore City Centre openings were in the Central and Eastern hotel trading performance in Singapore
region of Singapore. Major openings in over the next two years. Ongoing global
Courtyard by Marriott Novena 2016 include the 1,500-room Hotel Boss, economic and political uncertainties as
634-room JW Marriott Hotel Singapore well as increasing regional competition will
South Beach, the 451-room Holiday Inn ensure that Singapore remains competitive,
Express Singapore Katong and the 395- particularly in MICE and group business.
Notable hotel deals room Mercure Singapore Bugis. So far in
2017, the 37-room Warehouse Hotel has
Cuscaden Bungalow at
opened. Approximately 2,354 rooms are in
9 Cuscaden Road the pipeline. Majority of the new supply is
in the luxury sector (39.3%) followed by the
upscale sector (22.8%).
Note: Singapore Hotels refers to Upscale
Source: STR Global (YTD March 2017), Singapore Tourism Board, JLL
ADR - Average daily rate, RevPAR - Revenue per available room, OCC- OccupancyYou can also read
