Hotel Destinations Asia Pacific - Hotels & Hospitality Group | October 2017 - JLL Asia Pacific
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Hotels & Hospitality Group | October 2017 Hotel Destinations Asia Pacific
1 Hotel Destinations – Asia Pacific
Auckland
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (YTD June 2017) Number of New Rooms (2017)
87.0% NZD 200 NZD 174
3.6 million 663 rooms
Tourism Demand
New notable hotels Auckland International Airport, the Total (domestic and international) guest
‘gateway’ for Auckland and New Zealand nights in Auckland increased 2.2% for
There were no hotel openings overseas visitors, has experienced its year ended 30 June 2017 compared to
in H1 2017 second year of double-digit growth in the corresponding prior year period. The
international visitors. For YTD June 2017, growth in visitor numbers translating to
international visitors were up by 11.7%, growth in guest night demand, helped to
an increase on the 10.5% growth in the drive Auckland hotel average occupancy
Upcoming hotels previous year. The largest increases came levels to a record high level of 87.0% (for the
from USA (31.2%), Australia (6.3%), United period year ending July 2017). Auckland’s
SKYCITY Hobson Street Hotel Kingdom (16.9%), Malaysia (61.6%) and market occupancy has risen every year
Four Points by Sheraton Germany (17%). These increases were since 2010, after reaching a post GFC low of
driven by a 14.4% increase in capacity, with 69.5% in 2009.
Park Hyatt Auckland the strongest growth seen on the Middle
M Social Auckland East, Australia, China, Hong Kong and USA
routes.
Sofitel So Auckland
Notable hotel deals
Holiday Inn Queenstown
Supply Outlook
Modest levels of hotel room supply have We anticipate that Auckland’s
Quality Hotel Ambassador been delivered to the market in recent years accommodation market will continue to
Quest Napier (a total of 348 rooms over the past three perform strongly in the short term, and is
years, comprising an approximate 5.3% poised for further rate growth, however as
The Park Hotel Ruapehu increase over existing stock). However, the ‘wave’ of new supply enters the market,
there is an unprecedented level of new we expect current capacity constraints and
supply with nine projects (comprising occupancy to ease. However, beyond the
a total of 1,398 rooms) currently under short term some caution is warranted as
construction and forecast to enter the the market begins to absorbs the significant
market over the next one to three years, levels of forecast room supply.
with four of the hotel projects (818 rooms)
comprising 5-star product. The nine new
hotel projects represent an approximate
21% increase in room supply.
Note: Auckland refers to Marketwide
Source: Tourism Industry Association, Statistics New Zealand, JLL
ADR - Average daily rate, RevPAR - Revenue per available room
Hotel Destinations – Asia Pacific 2
Bali
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (YTD July 2017) Number of New Rooms (2017)
72.7% USD 150 USD 109
3.4 million 1,397 rooms
Tourism Demand
Bali continues to enjoy healthy growth As at YTD July 2017, Mainland China was New notable hotels
in international visitor arrivals which the top source market for Bali, accounting
increased 23.2% y-o-y as at YTD July 2017 for 26.3% of all international visitor arrivals. Hotel Indigo Bali Seminyak
to reach 3.4 million. All of the top ten Mainland Chinese arrivals were up by 289 rooms
source markets to Bali registered notable 57.4% y-o-y. Second to Mainland China
increases in demand except for Australia is Australia, which accounts for 18.9% of Swiss-Belresort Pecatu
(-1.1%) and Malaysia (-5.7%). Albeit from total arrivals, followed by India with 4.6% 199 rooms
lower volumes, significant growth was also of the total. Arrivals from India enjoyed Sol House Legian
registered from Russia (+62.9%), Canada a notable increase of 44.0% y-o-y. Other
136 rooms
(+28.2%) and the Philippines (+23.8%). At major markets enjoying double digit growth
this pace, international visitor arrivals are are South Korea (+24.6%), USA (+19.4%), Best Western Premier Agung
expected to exceed the 5.5 million target Germany (+18.6%) and the UK (+14.0%). Resorts Ubud
set by the government. 75 rooms
Upcoming hotels
Supply Outlook
Renaissance Bali Uluwatu
Resort & Spa
Element Bali Ubud
Approximately 750 rooms in six hotels have Recent improvements in air connectivity
been added to supply in Bali in 2017 to and new flight routes, notably from Europe Capella Ubud
date. Major additions include the 289-room and several Chinese cities, to Ngurah Solis Ubud Resort & Spa
Hotel Indigo Bali Seminyak, the 136-room Rai International Airport have helped to
Sol House Legian and the 75-room Best support the strong growth in international Fairfield by Marriott Legion
Western Premier Agung Resort Ubud. tourism arrivals. Indonesia is targeting 15
million international tourists in 2017, and
Bali is expected to account for around 40%
of these as it remains the prime destination Notable hotel deals
for foreign tourists.
There were no hotel transactions
in H1 2017
Note: Bali refers to Upscale
Source: STR Global (YTD Jul 2017), Bali Government Tourism Office, JLL
ADR - Average daily rate, RevPAR - Revenue per available room
3 Hotel Destinations – Asia Pacific
Bangkok
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (YTD July 2017) Number of New Rooms (2017)
75.9% THB 6,104 THB 4,630
13.5 million 2,983 rooms
Tourism Demand
New notable hotels International arrivals reached 13.5 million Mainland China is Bangkok's largest
as at YTD July 2017, recording an increase source market followed by Japan, India
Park Hyatt Bangkok of 4.1% y-o-y. The government’s crackdown and South Korea. While growth in arrivals
222 rooms on Chinese zero-dollar tours in 4Q2016 has among the major source markets slowed
put pressure on Chinese arrivals to Thailand down in 2016, other source markets such
Mercure Bangkok Makkasan and Bangkok with extended impact as the USA and Middle East registered high
180 rooms during the first half of 2017. A pick up in y-o-y improvement of 12.7% and 11.1%
137 Pillars Suites arrival growth is expected in the second respectively. Additionally, the Tourism
half of 2017 as seen from a 8.4% y-o-y Authority of Thailand (TAT) has kicked off
34 rooms
improvement in arrivals from Mainland the ‘Women’s Journey Thailand’ campaign
China for the month of July. aiming to enhance Thailand as a female
friendly destination.
Upcoming hotels
Lancaster Bangkok
The Bangkok EDITION hotel by
Ritz Carlton
Hyatt Regency Bangkok Sukhumvit
Supply Outlook
Bangkok has seen almost 1,200 new hotel Bangkok is expected to see a continual
Notable hotel deals rooms being added to the market as at increase in hotel supply over the next few
YTD July 2017 with another 1,800 rooms years with approximately 8,000 rooms to
Sukhumvit 27 Hotel Development
expected to open by end-2017. 2Q17 saw be added by 2019. Hotel performance has
Premier Inn Bangkok two notable openings namely the Park been driven by improvements in occupancy
Hyatt Bangkok and 137 Pillars Suites since 2015 and the trend is expected to
Bangkok. Over 40% of the future room continue in the short to medium term.
additions are in the upscale segment. Key While the increasing room supply may limit
upcoming projects include the 231-key occupancy growth, strong tourist arrivals
Lancaster, 154-key The Bangkok EDITION supported by expansions of Don Mueang
hotel by Ritz Carlton and 273-key Hyatt and Survarnabhumi International Airports
Regency Bangkok Sukhumvit. are expected to absorb the upcoming
supply.
Note: Bangkok refers to Luxury
Source: STR Global (YTD Jul 2017), Tourism Authority of Thailand,
Ministry of Tourism and Sports Thailand, JLL
ADR - Average daily rate, RevPAR - Revenue per available room
Hotel Destinations – Asia Pacific 4
Beijing
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (YTD July 2017) Number of New Rooms (2017)
72.4% RMB 1,015 RMB 735
2.2 million 1,809 rooms
Tourism Demand
Total visitor arrival in Beijing declined Corporate demand remains the main driver New notable hotels
5.8% to 2.2 million as at YTD July 2017. for the Beijing hotel market. An increasing
The decline can be mainly attributed to number of companies are relocating their Hotel Jen Beijing
the sharp drop of Korean visitors, which head offices to the cities’ sub-commercial 450 rooms
recorded a 41.3% fall due to political centre such as Lize, Wangjing, Yizhuang,
tension that currently exists between the Tongzhou and Changping. Correspondingly Bvlgari Hotel Beijing
two countries. On a positive note, the 144- corporate demand is expanding to these 119 rooms
hour visa exemption policy that is planned new emerging areas. Leisure demand
to be issued at the end of 2017 should help is another major demand segment. As
boost international visitation and alleviate the Jing-jin-ji areas are becoming more
the shortfall of Korean tourists. integrated, an increasing number of short-
Upcoming hotels
haul travellers from Hebei and Tianjin are The Puxuan Hotel and Spa
traveling to the ancient capital city during
national holidays or over the weekend for Beijing Pan Pacific Hotel
short trips.
Hualuxe Beijing Xinan
Club Med Hotel
Supply Outlook Notable hotel deals
The 450-room Hotel Jen is the only entrant Hotel performance is expected to improve Somerset ZhongGuanCun Beijing
for the first half of 2017. However, another over the next 12 months. The high-
six hotels are expected to add a total of positioning and limited rooms of the two
1,400 rooms to the market by year end. Key new incoming luxury hotels coupled with
openings include two luxury hotels: Bvlgari a relatively restrained supply pipeline is
Hotel Beijing (120 rooms) and Puxuan Hotel expected to drive ADR marketwide. We
(116 rooms). The balance of new supply is are also seeing some hotels in busy trade
mostly concentrated in emerging business areas upgrading their rooms to serve rising
clusters or suburban areas of Beijing. demand from travelers seeking higher-
However, development pace is slowing quality accommodation. This demand will
due to restrictive construction policy and be further supported by an increase in short-
developers’ remaining overly cautious haul travel as Beijing continues to grow its
based on current trading fundamentals. outer areas through the construction of a
second new airport, and the opening of a
Universal Studios.
Note: Beijing refers to Upscale
Source: STR Global (YTD Jul 2017), Beijing Tourism Bureau, JLL
ADR - Average daily rate, RevPAR - Revenue per available room
5 Hotel Destinations – Asia Pacific
Brisbane
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (YTD March 2017) Number of New Rooms (2017)
72.9% AUD 155 AUD 113
255,000 319 rooms
Tourism Demand
New notable hotels As at YTD March 2017, visitor arrivals to While visitation remains largely domestic,
Brisbane City achieved robust growth, Mainland China remains the biggest source
Holiday Inn Express Hotel increasing 38.3% y-o-y to a total of 1.1 market to Brisbane, followed by Japan,
226 rooms million. International visitor nights the United Kingdom and Taiwan. In 2016,
accounted for 23.5% (0.5% increase y-o-y) Chinese visitor nights in Brisbane City grew
Sage Hotel James Street and domestic nights accounted 76.5% 14.7% year-on-year and has grown at an
93 rooms (56.3% increase y-o-y). The strong growth average annual rate of 25.2% over the last
in visitor arrivals can be attributed to 10 years. While ‘leisure’ remains the primary
a number of significant events held in purpose of visit, ‘education’ also increased
the City, including music concerts from significantly during the three months to
Upcoming hotels renowned musicians such as Adele and March 2017.
Adina on George Street Justin Bieber, as well as the World Science
Festival.
W Hotel
Southpoint Emporium Hotel
Calile Hotel Fortitude Valley
Supply Outlook
Westin Brisbane
Notable hotel deals So far in 2017, two hotels have opened, Year to date, the Brisbane accommodation
being the Sage Hotel James Street (93 market have been positive, signaling
The New Inchcolm Hotel & Suites guest rooms) and the Holiday Inn Express the early signs of a post resources boom
Brisbane (226 guest rooms). We are recovery. In the medium to long term,
aware of seven additional short-term investment in major projects such as the
accommodation developments currently Queens Wharf redevelopment, Brisbane
under construction in central Brisbane Live precinct and the Howard Smith Wharfs,
and are due for completion by 2019. If all is expected to underpin future tourism
projects materialise, this will represent an demand along with the addition of a second
increase of 1,460 rooms or 13.1% on the runway at Brisbane airport.However,
existing stock. market growth will likely moderate as new
projects continue to enter the market.
Note: Hotel supply within the Brisbane City Region
Source: Tourism Research Australia (2017), STR Global (YTD July 2017), JLL
ADR - Average daily rate, RevPAR - Revenue per available room
Hotel Destinations – Asia Pacific 6
Hanoi
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (YTD July 2017) Number of New Rooms (2017)
84.9% USD 112 USD 95
2.7 million 643 rooms
Tourism Demand
International visitor arrivals to Hanoi China, South Korea, Japan and the USA New notable hotels
reached 2.7 million as at YTD July 2017, continues Vietnam's top source markets as
representing a y-o-y growth of 19%. Country at YTD July 2017. Hanoi authorities recently InterContinental Landmark 72
and city-wide tourism promotion, new cooperated with CNN to broadcast short 359 rooms
domestic and international flights as well films featuring city’s scenery and heritage
as the extension of the visa waiver program sites to boost international demand.
for major European countries will provide Taiwan, Russia,Malaysia,Australia and
impetus for further growth in international the UK are also among the leading source Upcoming hotels
visitor arrivals in 2017 markets to Hanoi. Additionally, the city has
consistently launched marketing campaigns Novotel Hanoi Thai Ha
with a focus to promote tourism to Western Park Hyatt Hanoi
Europe, Northeastern Asia and Northern
America markets. Somerset West Central Hanoi
Notable hotel deals
There were no hotel transactions
Supply Outlook in H1 2017
The first half of 2017 saw the soft opening Hanoi is looking to focus on high-
of the Intercontinental Landmark 72 (170 quality tourism products and services by
out of 350 rooms). Approximately 2,500 encouraging human resource training
rooms are anticipated to enter the market and local infrastructure improvement.
beyond-2020 with a concentration in The continual rise in occupancy levels is
the luxury and midscale segments. We expected to support Hanoi’s hotel trading
understand that the Novotel Hanoi Thai Ha, performance with arrivals recording upward
as well as the Park Hyatt Hanoi and Four momentum though upcoming supply might
Seasons are expected to open in the next put pressure on hotel trading in the short to
few years. medium term.
Note: Hanoi refers to Marketwide
Source: STR Global (YTD Jul 2017), Vietnam National Administration of Tourism, JLL
ADR - Average daily rate, RevPAR - Revenue per available room
7 Hotel Destinations – Asia Pacific
Ho Chi Minh City
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (YTD June 2017) Number of New Rooms (2017)
74.1% USD 110 USD 82
2.8 million 71 rooms
Tourism Demand
New notable hotels Ho Chi Minh City (HCMC) welcomed 2.8 During the past few years, the number of
international visitor arrivals as at YTD June tourists from the UK, France, Germany,
Fusion Suites Saigon 2017, registering a 14.7% growth y-o-y. Italy and Spain registered an increase
71 rooms International visitor arrivals are forecast of 14.0% per year, as a result of the visa
to reach between 5.6 million to 6 million exemption program. Vietnam has continued
by end of 2017, a notable improvement its cooperation with Japan with new flights
compared to the 5.2 million recorded. connecting Hanoi, HCMC and Osaka by
Upcoming hotels The city has organised monthly events Vietnam Airlines starting from September
including the promotion of its southern this year. Additionally, HCMC’s Department
Holiday Inn & Suites Saigon Airport cuisine and Vietnamese traditional clothing of Tourism has also raised a proposal
Citadines Regency Saigon (Ao Dai), aiming to attract new visitors and to extend the visa exemption period
encourage repeat travellers. for international arrivals from Sweden,
Denmark, Russia, South Korea, the UK,
Germany, France, Italy and Spain from 15
Notable hotel deals days to 30 days to boost the city’s tourist
arrivals.
There were no hotel transactions
in H1 2017
Supply Outlook
Over 3,600 rooms remain in the 2017-2020 Ho Chi Minh City is fast becoming an
pipeline with 450 rooms to open by end- international tourist destination as the
2017. Half of future room additions are government continues to focus efforts on
in the upscale segment. Expected hotel marketing as well as improving tourist
openings in 2018 and 2019 include the attractions and safety. With an ongoing
217-key Ascott Waterfront Saigon, 350-key upgrading of museums and approval for
Holiday Inn & Suites Saigon Airport, and a safari and Saigon Cultural and Tourism
350-key Hilton Saigon. Two luxury projects Village, the People’s Committee is
scheduled to open in 2020 are the Okura developing a tourism development strategy
Prestige Saigon and Ritz-Carlton Saigon. through to 2030 and beyond to ensure
sustainable tourism development.
Note: Ho Chi Minh City refers to Marketwide
Source: STR Global (YTD Jul 2017), Vietnam National Administration of Tourism, JLL
ADR - Average daily rate, RevPAR - Revenue per available room
Hotel Destinations – Asia Pacific 8
Hong Kong
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (YTD June 2017) Number of New Rooms (2017)
82.9% HKD 1,678 HKD 1,392
27.8 million 4,276 rooms
Tourism Demand
As at YTD June 2017, total overnight visitor Mainland China is Hong Kong’s largest New notable hotels
arrivals have grown by 5.0% to 13.1 million source market, contributing 73.7% of
compared to the same period last year. This all total visitor arrivals as at YTD June Disney Explorers’ Lodge
growth arises from the Mainland Chinese 2017, which is almost three times all 750 rooms
Market (up by 5.4% y-o-y) and the Short other markets combined. Despite the
Haul Markets (up by 7.9% y-o-y.) This is decline in 2015 and 2016, mainland China Kerry Hotel by Shangri-La
positive news given declining overnight visitors have begun to recover starting in 546 rooms
arrivals recorded over much of 2015 and late 2016 and continuing as at YTD June Silka Tsuen Wan
2016 and the market is now firmly in 2017. Such growth has been assisted by
400 rooms
recovery. Chinese visitors’ recovering interest as
well as South Korea's and Taiwan's heated iClub Ma Tau Wai
political tensions with China, which could 340 rooms
have prompted Chinese to visit Hong Kong
instead. Billion Hotel
336 rooms
Upcoming hotels
Supply Outlook Emperor Hotel Wanchai
Hotel COZI
As at the end of 2016, Hong Kong’s hotel Due to the changing profile of Mainland
accommodation comprised a total of 263 Chinese visitors and relatively sufficient The Murray, a Niccolo Hotel
hotels with 74,868 rooms. Approximately new supply expected, ADR growth is
3,000 hotel rooms have been added into the estimated to remain subdued this year. Rosewood Hong Kong
market as at YTD August 2017, representing Notwithstanding, we believe the Hong Kong Hotel Vic North Point
4.3% of growth from 2016. The new supply tourism market has started its recovery in
in the first half of the year is characterized late 2016 with improving visitor arrivals
by a few large hotel openings such as the statistics. Although the demographics of
Disney Explorers’ Lodge (750 rooms), Kerry Mainland Chinese visitors are changing, Notable hotel deals
Hotel by Shangri-La (546 rooms), Silka we are cautiously optimistic that hotel
Tsuen Wan (400 rooms), and iClub Ma Tau performance will return to its stabilised Rosedale on The Park
Wai (340 rooms.) levels over the medium to long term. Hong
Kong has proven itself to be a resilient city
Butterfly Hollywood
on the back of its multi-faceted appeal for Bay Bridge Hotel
leisure, corporate as well as MICE-related
demand. Newton Inn North Point
Hotel Bonaparte
Note: Hong Kong refers to Upscale
Source: STR Global (YTD Jul 2017), Hong Kong Tourism Board, JLL
ADR - Average daily rate, RevPAR - Revenue per available room
9 Hotel Destinations – Asia Pacific
Jakarta
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (YTD July 2017) Number of New Rooms (2017)
52.6% USD 159 USD 83
1.4 million 659 rooms
Tourism Demand
New notable hotels International visitor arrivals to Jakarta Jakarta remains a key business gateway
continue to grow and, as at YTD July 2017, into Indonesia and demand has continued
HARRIS Vertu Jakarta reached 1.4 million, an increase of 11.1% to grow. Corporate travellers constitute
240 rooms y-o-y. The extension of the visa waiver the majority of tourism demand, as
programme continues to benefit Indonesia, Jakarta continues to be the main hub and
Yello Hotel Manggarai with 169 countries now eligible to receive a corporate headquarters for Indonesian
102 rooms free 30-day visa upon arrival in the country. and multinational corporations. Jakarta is
Amaris Hotel Mampang also a popular stop over for international
visitors travelling to other popular tourist
90 rooms
destinations in Indonesia such as Bali,
Lombok and Yogyakarta.
Upcoming hotels
Park Hyatt Jakarta
Alila SCBD
Regent Jakarta
Supply Outlook
Notable hotel deals Approximately 432 rooms in three hotels Incoming hotel supply will add pressure to
There were no hotel transactions have opened in Jakarta in 2017 to date. The hotel trading performance in Jakarta, and
in H1 2017 new openings include the 240-room HARRIS hotels are likely to reduce rates to maintain
Vertu Jakarta, the 102-room Yello Hotel occupancy. However, foreign investment
Manggarai and the 90-room Amaris Hotel in the country is expected to increase
Mampang. Another hotel with 227 rooms is amidst significant reforms in the business
expected to open before the end of 2017. environment. This should underpin demand
for quality accommodation by both
corporate and leisure travellers.
Note: Jakarta refers to Upscale
Source: STR Global (YTD Jul 2017), BPS Statistics Indonesia, JLL
ADR - Average daily rate, RevPAR - Revenue per available roomHotel Destinations – Asia Pacific 10
Kuala Lumpur
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (YTD May 2017) Number of New Rooms (2017)
66.0% MYR 534 MYR 353
10.8 million* 1,527 rooms
Tourism Demand
Total international visitor arrivals to Although Singapore visitor arrivals have New notable hotels
Malaysia have remained relatively stable fallen 3.4% as at YTD May 2017, it remains
in 2017, recording a marginal decline of Malaysia’s top international source market, Sofitel Kuala Lumpur
0.9% y-o-y as at YTD May 2017 to record accounting for 48.2% of total arrivals, or Damansara
10.8 million. The fall has been attributed 5.2 million. Notable growth, however, has 312 rooms
primarily to the decline in Singapore visitor continued in other key source markets from
arrivals who, buoyed by the strength of the 2016, namely Brunei, Thailand and China, Element Kuala Lumpur
Singapore Dollar, have been choosing to which registered y-o-y increases of 37.7%, 252 rooms
travel to other countries instead of Malaysia. 9.8% and 7.8% respectively as at YTD May
Mercure Kuala Lumpur
Tourism Malaysia is targeting a total of 31.8 2017.
million international tourist arrivals in 2017,
Shaw Parade
with tourism receipts of MYR 118 billion. 213 rooms
Hotel Stripes Kuala Lumpur
184 rooms
Upcoming hotels
Supply Outlook W Kuala Lumpur
Sherataon Petaling Java
Approximately 961 rooms in four hotels The threat of oversupply continues to weigh
have been added to supply in Kuala on the Kuala Lumpur market, with close to Alila Bangsar
Lumpur as of August 2017. This includes 6,000 hotel rooms currently in the pipeline Citizen M Kuala Lumpur
the 312-room Sofitel Kuala Lumpur between 2018 and 2020. While trading
Damansara, the 252-room Element Kuala performance has seen some improvement Four Seasons Place Kuala Lumpur
Lumpur, the 213-room Mercure Kuala in 2017, the anticipated influx of new supply
Lumpur Shaw Parade and the 184-room will place further pressure on hoteliers to
Hotel Stripes Kuala Lumpur. A further 566 remain rate competitive.
rooms in two hotels are expected to open Notable hotel deals
before the end of 2017. There were no hotel Transactions
in H1 2017
Note: Kuala Lumpur refers to Luxury & Upscale
Source: STR Global (YTD Jul 2017), Tourism Malaysia, JLL
ADR - Average daily rate, RevPAR - Revenue per available room
*International visitor arrivals across Malaysia11 Hotel Destinations – Asia Pacific
Macau
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (YTD June 2017) Number of New Rooms (2017)
87.2% MOP 1,341 MOP 1,169
15.6 million 6,185 rooms
Tourism Demand
New notable hotels As at YTD June 2017, international visitor As at YTD June 2017, Mainland China
arrivals to Macau increased marginally to remains Macau’s top source market,
The Macau Roosevelt 15.6 million arrivals y-o-y (from 14.8 million contributing a total of 10.3 million visitors,
368 rooms arrivals one year prior). According to the or 66.4% to the total visitor arrivals,
Macau Statistics and Census Service, as at followed by Hong Kong, which accounts
The Legend Palace Hotel the end of 2016 there were 107 operating for as much as 20.0% of total visitor
223 rooms hotel establishments with a total of 36,278 arrivals. Combined, these two source
rooms. The Macau hotel market outlook markets comprise approximately 86.4% of
is expected to remain cautious due to the total visitor arrivals as at YTD June 2017.
uncertainty of the Mainland China market, Following a drastic fall in 2015, the Mainland
Upcoming hotels the incoming hotel pipeline, and increasing Chinese market gained some momentum in
competition from other casino and resort December 2016, growing by 7.8% compared
Lisboa Palace Hotel
markets such as Singapore, Malaysia, and to December 2015, ending the year with a
MGM Cotai South Korea. 0.2% marginal improvement.
Morpheus Macau
W Hotel Macau Studio City
Supply Outlook
Palazzo Versace Macau
Notable hotel deals While most of the hotel projects were With the continuous growth of Mainland
previously on the Macau Peninsula, future China’s economy, we are cautiously
Landmark Hotel Macau hotel supply is primarily located on the optimistic that hotel performance will
Cotai Strip which connects Coloane and return to stabilised levels over the medium
Hotel Lan Kwai Fong Macau
Taipa Islands. According to the Land, Public to long term, since Macau has proven itself
Works and Transport Bureau, as at Q1 2017, to be a favourable destination for Mainland
a total of 17 hotels with 5,153 rooms were Chinese visitors and MICE organisers for its
under construction, with a further 33 hotels accessibility and established infrastructure.
(7,840 rooms) under planning stage. Recently, a noticeable increase in VIP
gambling numbers is a welcome sign that
the market is in recovery.
Note: Macau refers to Marketwide
Source: STR Global (YTD Jul 2017), Macau Government Tourism Office, JLL
ADR - Average daily rate, RevPAR - Revenue per available roomHotel Destinations – Asia Pacific 12
Maldives
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (YTD June 2017) Number of New Rooms (2017)
62.2% USD 668 USD 416
658,000 1,113 rooms
Tourism Demand
As at YTD June 2017, international arrivals As at YTD June 2017, the market continued New notable hotels
registered around 658,000 with 6.1% to see the revitalisation of the Russian
growth over the same period last year. inbound market, increasing by 36.8% Cocoon Resort
Under the tagline “Maldives - the sunny y-o-y. Other top source markets which 150 rooms
side of life”, efforts will continue in 2017 to grew strongly included Italy (+25.6%), India
market the Maldives as a destination to a (+24.7%) and the USA (+19.4%). Some top Grand Park Kodhipparu
global audience. To support these efforts, source markets saw a drop in arrivals, 120 rooms
in February 2017 the Maldives Marketing including Mainland China (-10.3%) and St Regis Vommuli Resort
and Public Relations Corporation officially Germany (-0.4%). Despite this, Mainland
77 rooms
launched the “Story of the Maldives” China remained the top source market to
campaign 2017/2018. the Maldives accounting for 21.5% of all Soneva Jani
international visitor arrivals as at YTD June 25 rooms
2017.
Four Seasons Private Island at Voavah
7 rooms
Upcoming hotels
Supply Outlook Noku Maldives
(former Zitahli Resort & Spa)
According to the Ministry of Tourism, a Despite the challenging macro environment,
total of 126 resorts with 26,933 beds, 16 the Maldives government remains Mercure Maldives Kooddoo
hotels with 1,713 beds, 382 guest houses committed to growing and investing in its Gran Melia Maldives
with 5,884 beds and 144 safari vessels with tourism market. Looking forward, while the
2,694 beds were registered in the Maldives operating market is likely to be challenging Fushifaru Maldives
as of December 2016. In 2016 there were 12 in the short term, it is anticipated that
major resort openings, increasing supply increased marketing campaigns, paired
by 919 rooms, an average of 77 rooms per with ongoing tourism infrastructure
resort, such as Finolhu, Amari Havodda, improvements and increased airlift from Notable hotel deals
Furaveri Island Resort & Spa, Kudafushi other markets will benefit the medium to
Grand Park Kodhipparu
Resort & Spa, OZEN by Atmosphere, St Regis long term prospects of the Maldives.
Vommuli Resort, Milaidhoo Island, Soneva
Jani and the Four Seasons Private Island at
Voavah.
Note: Maldives refers to Marketwide
Source: STR Global (YTD July 2017), Ministry of Tourism, Arts & Culture, JLL
ADR - Average daily rate, RevPAR - Revenue per available room13 Hotel Destinations – Asia Pacific
Manila
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (YTD June 2017) Number of New Rooms (2017)
67.5% USD 103 USD 70
3.4 million 2,991 rooms
Tourism Demand
New notable hotels Following the record growth in 2016, As at YTD June 2017, South Korea was
international visitor arrivals to the the largest tourism source market to the
Okada Manila Philippines have continued to grow strongly Philippines, with total arrivals of 0.8 million,
993 rooms increasing by 12.7% y-o-y to reach 3.4 or 23.7% of the total. Strong growth was
million, as of YTD June 2017. The positive seen in key source markets, notably China
Seda Vertis North figures were attributed to improved which increased 33.4% y-o-y. This follows
438 rooms tourism marketing efforts and a series of the lifting of travel advisories against visits
Valero Grand Suites international events such as the ASEAN@50 to the Philippines following President
meetings. The surge in arrivals were Rodrigo Duterte’s state visit to China in
271 rooms
attributed to strong performance in tourist October 2016. India and South Korea also
Hop Inn Makati Avenue Manila arrvials from emerging countries, China in registered strong growth of 18.4% and
144 rooms particular. 15.9% y-o-y, respectively.
Upcoming hotels
Grand Hyatt Manila
Savoy Hotel Newport City
Sheraton Manila
Supply Outlook
Seda Circuit Makati Approximately four hotels representing The outlook for tourism remains bright for
1,846 rooms have opened in Manila in 2017 the Philippines, amidst continued marketing
Seda Bonifacio Global City Extension
to date. The majority of the rooms come efforts and infrastructural developments
from the 993-room Okada Manila which to support the industry. However, the
opened in March 2017 in the Manila Bay impact of the recent terror attacks in the
Notable hotel deals Area. Other hotels include the 438-room country remains to be seen amid concerns
Seda Vertis North, 271-room Valero Grand around safety and security. Tourists will
There were no hotel transactions Suites and the 144-room Hop Inn Hotel need reassuring that the attacks in Marawi
in H1 2017 Makati Avenue Manila. A further 1,145 City and Resorts World Manila are isolated
rooms in two hotels are expected to open incidents.
before the end of 2017.
Note: Manila refers to Marketwide
Source: STR Global (YTD Jul 2017), Philippines Department of Tourism, JLL
ADR - Average daily rate, RevPAR - Revenue per available roomHotel Destinations – Asia Pacific 14
Melbourne
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (YTD Mar 2017) Number of New Rooms (2017)
85.6% AUD 200 AUD 172
1.7 million 273 rooms
Tourism Demand
In 2016, visitor arrivals totalled 6.6 million While visitation remains largely domestic, New notable hotels
in Melbourne City representing 6.7% of all Mainland China is the City’s largest
visitor arrivals in Australia. As at YTD March inbound market, contributing 32.9% of all Four Points by Sheraton
2017, visitor arrivals to Melbourne City international visitor arrivals as at YTD March 273 rooms
achieved strong growth, increasing 16.0% 2017. A strong calendar of international
y-o-y to a total of 1.7 million. International events in the first half of 2017 has
visitor arrivals accounted for 31.0% (5.1% contributed to the growth in international
increase y-o-y) and domestic nights 69.0% demand, including the Melbourne Upcoming hotels
(17.4% increase y-o-y). International Comedy Festival, Australian
Open and Formula One Australian Grand Ibis & Novotel Little Lonsdale Street
Prix. Novotel Southbank Melbourne
Shama Luxe Aurora Melbourne Central
Quest New Quay Docklands
W Melbourne
Supply Outlook Notable hotel deals
Hilton South Wharf
Approximately 427 rooms have been added The market buoyancy of recent years is
into the market in 2016, most of which are anticipated to moderate over the medium
upscale/luxury properties in the Melbourne term as Melbourne’s development pipeline
CBD and Docklands area. During the first continues to build. A significant number
half of 2017, the Four Points by Sheraton of large mixed use developments and
Docklands has also opened. We are standalone hotel projects are concentrated
aware of six short-term accommodation around the CBD and Docklands area and
developments currently under construction are likely to commence operations in the
and due for completion by 2020. If all five years to 2022. Over the medium to long
projects materialise, this will represent term, significant projects of note include
an increase of 1,719 rooms or 8.8% on the the redevelopment of the Melbourne
existing stock. Convention & Exhibition Centre (MCEC) and
Docklands precinct as well as the proposed
airport runway extension.
Note: Hotel supply within the Melbourne City Region
Source: Tourism Research Australia (2017), STR Global (YTD July 2017), JLL
ADR - Average daily rate, RevPAR - Revenue per available room15 Hotel Destinations – Asia Pacific
Osaka
Quick Facts
International Accomodation Guest Number of New Rooms OCC ADR RevPAR
(YTD June 2017) (2017)
83.0% JPY 23,193 JPY 19,248
2.9 million 1,205 rooms
Tourism Demand
New notable hotels As at YTD June 2017, a total of 8 million The growth in international accommodation
visitor nights were spent in Osaka City. guests has slowed down in the recent
Candeo Hotel Osaka Namba International accommodation guests which months while visitor arrivals to Japan
496 rooms accounts for 36.1% of total accommodation continue to grow. It is believed that excess
guests in Osaka, increased by 6.7% y-o-y demand is being absorbed by alternative
The Singulari Hotel & Sky Spa to 2.9 million. The number of domestic accommodation options such as Airbnb. As
390 rooms accommodation guests also increased at YTD July 2017, RevPAR remains stable,
Conrad Osaka by 2.6% y-o-y to 5.1 million. recording a slight y-o-y decline of 0.4%.
164 rooms
Upcoming hotels
Moxy Osaka Honmachi
Hotel Universal Port #2
Yodoyabashi Umeda Tower
APA Hotel Mido-suji
Honmachi Tower
Supply Outlook
Shin Imamiya by Hoshino Resort The major new supply in 2Q 2017 include Osaka is expected to benefit from
the 167-room Conrad Osaka, the 496-room continued growth in visitor arrivals as
Candeo Hotel Osaka Namba and the the city is gaining popularity as a tourism
390-room Singulari Hotel and Sky Spa. destination. The new international low cost
Notable hotel deals Although, there have been limited new carrier terminal at Kansai International
additions to the supply of full-service Airport and the expansion of Universal
Tenmabashi Grand Hotel Osaka hotels, more than 22,000 additional limited- Studios Japan are strong growth drivers for
Dojima Hotel service hotel rooms are anticipated in the Osaka. On the other hand, new supply is
foreseeable future. expected to partially offset the benefits of
demand growth.
Note: Osaka Hotels refers to Upscale
Source: STR Global (YTD July 2017), Japan Tourism Agency, JLL
ADR - Average daily rate, RevPAR - Revenue per available roomHotel Destinations – Asia Pacific 16
Phuket
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (YTD July 2017) Number of New Rooms (2017)
78.5% THB 4,042 THB 3,175
2.6 million 1,418 rooms
Tourism Demand
International arrivals through Phuket Mainland China was the largest source New notable hotels
airport registered 29.2% y-o-y growth, market in 2016, albeit a slowdown in
reaching 2.6 million as at YTD July 2017. growth. Russian arrivals saw significant The SIS Resort
Chinese visitors have began showing y-o-y improvement of 25.1% in 2016 and 124 rooms
a pickup since the zero-dollar tours remained the second largest source market.
crackdown in 4Q2016 which impacted Australia, the third largest source market, MAI HOUSE Patong Hill
arrivals in 1H2017.The growth in arrivals continued to be on a downward trend with 79 rooms
has also been supported by the resurgence arrivals declining by 9.3% y-o-y in 2016.
of Russian visitors due to the steady
appreciation of the Ruble.
Upcoming hotels
Rosewood Phuket
The Hermitage Kata - Phuket
Mövenpick Resort Mai Khao Phuket
(Formerly D Varee Mai Khao Beach
Phuket Resort)
Supply Outlook
Notable hotel deals
Phuket has seen few openings since the With China becoming the island’s biggest
beginning of 2017 with 304 rooms being source market in recent years, hotel rates There were no hotel transactions
added to the market. Over 1,100 rooms have been on pressure. However, the crack in H1 2017
are however slated to open by end-2017. down on zero-dollar tours is expected to
Future openings are concentrated in the lead to an improvement in the long run.
upscale segment and Patong area. Notable Phuket’s infrastructure improvement
upcoming openings include The Hermitage projects are expected to relieve the traffic
Kata, Rosewoood Phuket and Movenpick congestion on the island and further boost
Resort Mai Khao Phuket which will be a its tourism sector. The much-anticipated
rebrand of D Varee Mai Khao Beach Phuket Light Rail Transit (LRT), extending across
Resort. Phuket to the southern tip of Phang Nga,
has been set for construction in 2018 with
opening year in 2021.
Note: Phuket refers to Marketwide
Source: STR Global (YTD Jul 2017), Department of Tourism Thailand, Ministry of Tourism and Sports Thailand, JLL
ADR - Average daily rate, RevPAR - Revenue per available room17 Hotel Destinations – Asia Pacific
Seoul
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (YTD July 2017) Number of New Rooms (2017)
72.2% KRW 95,953 KRW 69,290
7.7 million 2,308 rooms
Tourism Demand
New notable hotels Following heightened tensions between While Mainland China experienced
Mainland China and South Korea, significant falls, growth was seen from
Meridian Seoul (Rebranded from the international tourist arrivals registered a some of the other key tourism source
Ritz Carlton Seoul) 20.9% y-o-y decline as at YTD July 2017 to markets to South Korea. As at YTD July
336 rooms 7.7 million. This was primarily attributed 2017, growth was led by Russia and Taiwan,
to the 46.5% contraction in arrivals from which increased 17.5% and 12.3% y-o-y,
LOTTE Signiel Hotel Seoul Mainland China. Despite this, China respectively. Japan, South Korea’s second
235 rooms still remains the top source market for largest source market, also increased 2.8%
international visitor arrivals to the country. y-o-y to 1.25 million during the same period.
Aloft Hotel Seoul Myeongdong
223 rooms
Upcoming hotels
Park Hotel Yeongdeungpo
Seoul Dragon City
Four Points by Sheraton
Seoul Gangnam Supply Outlook
Fairmont Ambassador Seoul
So far in 2017, two new hotels have The significant decrease in visitation from
opened, namely the 223-room Aloft Seoul Mainland China as a result of political
Myeongdong and the 235-room Lotte Signiel tensions between the two countries will
Notable hotel deals Hotel Seoul. A further five hotels providing continue to affect hotel performance. The
1,850 rooms are expected to open by the impact of this will continue to be most
Hotel Ellui end of the year. Four of these new hotels keenly felt in the midscale and budget hotel
will operate under the Accor umbrella at segments. In addition, heightened tensions
Nine Tree Premier
Seoul Dragon City in Yongsan and are due with North Korea may also deter visitor
Hotel Myeongdong II to open in October 2017. arrivals. Both disruptions are expected to
be short term in nature and the outlook
for future growth is strong following the
normalization of these events.
Note: Seoul refers to Midscale & Economy
Source: STR Global (YTD Jul 2017), Seoul Tourism Board, JLL
ADR - Average daily rate, RevPAR - Revenue per available roomHotel Destinations – Asia Pacific 18
Seychelles
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (YTD July 2017) Number of New Rooms (2017)
61.6% USD 923 USD 568
199,796 Nil
Tourism Demand
The Seychelles welcomed approximately Europe remains the dominant source New notable hotels
303,000 visitors in 2016, a 10% increase market to the Seychelles with Germany,
compared to 276,000 the previous France, Italy and the United Kingdom There were no new hotel openings
year. Visitor arrivals continued to surge together accounting for approximately 38% in H1 2017
throughout the first seven months of 2017, of all international arrivals as at July 2017.
achieving 21% y-o-y increase as at YTD July, Demand from the UAE market recorded
boosted by increased flight connectivity robust growth of 24.2% y-o-y as at YTD July
and improved destination marketing. 2017, supported by direct flights to Dubai, Upcoming hotels
Doha and Abu Dhabi in under four hours.
The ministry of tourism is also targeting Four Seasons Desroches Island
visitor arrivals from Asia, with the recent
introduction of one-stop flights to Beijing
and chartered flights to Chengdu.
Notable hotel deals
There were no hotel transactions
in H1 2017
Supply Outlook
In line with the nation’s framework to Tourism fundamentals to the island
protect the environment and encourage nation remains strong, supported by ever
sustainable development, the government increasing flight connectivity and growing
introduced a moratorium on large hotel destination awareness. Air Seychelles
development in 2015, defined as properties continues to expand direct flights and
having 25 rooms or more. Recently, the codeshare agreements, which is helping to
government has decided to extend the drive visitor arrivals from the major source
moratorium until the end of 2020 which markets in Europe, Middle East and Africa,
will limit new hotel supply coming into the as well as tapping into new source markets
market over the medium term. in Asia, including China, India and Sri Lanka.
With limited hotel supply in the horizon,
due to the moratorium, hotel trading
performances are likely to remain strong in
the short to medium term.
Note: Seychelles refers to Five-star
Source: STR Global (YTD Jun 2017), Seychelles National Bureau of Statistics, JLL
ADR - Average daily rate, RevPAR - Revenue per available room19 Hotel Destinations – Asia Pacific
Shanghai
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (YTD July 2017) Number of New Rooms (2017)
73.6% RMB 1,061 RMB 781
4.2 million 3,318 rooms
Tourism Demand
New notable hotels YTD July 2017 data from the Shanghai As a core commercial hub in the Yangtze
Tourism Bureau showed 4.2 million in River Delta, corporate demand continues
St. Regis Shanghai Jingan international visitor arrivals which amounts to be the key driver for Shanghai’s hotel
491 rooms to a 3% increase y-o-y. This improvement market. In particular, the MICE segment
can be mainly attributed to strong visitor continues to grow from strength to strength.
Cordis Shanghai Hongqiao growth from Japan and the USA, rising On the other hand, the opening of Shanghai
396 rooms 16.1% and 5.3% respectively. Korean Disney Resort has generated considerable
W Shanghai The Bund visitation continued falling due to the leisure demand especially amongst high
tension existing between both countries. spending individual domestic and regional
374 rooms
travelers.
Hyatt Regency Shanghai
Globar Harbor
318 rooms
Melia Shanghai Hongqiao
187 rooms
Upcoming hotels
Bvlgari Shanghai
Supply Outlook
There were ten hotels with 3,318 rooms that From 2018 onwards, an influx of new hotels
The Sukhothai commenced trading during the first half is set to enter the Shanghai market. We
Dusit Thani Shanghai Zhabei of 2017, seven positioned in the upscale believe trading performance should still
category and three, midscale. In May 2017, trend upwards supported by a steady
The Middle House the St. Regis set its first footprint on the stream of travelers across both corporate
Shanghai market located in the core area and leisure demand segments. Additionally,
of downtown Puxi and a room inventory of the upcoming opening of Shanghai Polar
491. There are 7 hotels with around 1,218 Ocean Park is expected to further boost the
Notable hotel deals rooms slated to open over the balance of city’s leisure tourism offer, further adding to
2017. However, a delay is expected for many Disney Resort as a major drawcard in China.
There were no hotel transactions
of these projects due to developers’ variable
in H1 2017 market strategies.
Note: Shanghai refers to Upscale
Source: STR Global (YTD Jul 2017), Shanghai Tourism Bureau, JLL
ADR - Average daily rate, RevPAR - Revenue per available roomHotel Destinations – Asia Pacific 20
Singapore
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (YTD June 2017) Number of New Rooms (2017)
83.7% SGD 252 SGD 211
8.5 million 3,122 rooms
Tourism Demand
Growth in visitor arrivals continued on a As of YTD June 2017, Mainland China New notable hotels
positive trajectory to a high of 8.5 million is Singapore’s largest source market
as of YTD June 2017, a 4.5% increase contributing 18.2% to total visitor arrivals Aqueen Hotel Little India
Y-O-Y. Strong arrival numbers are a result with a 5.4% increase y-o-y. In comparison, 70 rooms
of successful marketing initiatives by the traditional top source market of
the Singapore Tourism Board (STB). This Indonesia contributed to 17.2% in visitor The Warehouse Hotel
performance confirms that Singapore is arrivals and recorded an increase of 37 rooms
well on its way to achieve the STB’s growth 4% y-o-y. Top growth markets for the Villa Samadhi
forecast in tourist arrivals of 16.4-16.7 nation were India(15.0%), the USA (9.4%)
20 rooms
million by the end of 2017. and UK (6.6%) respectively. Growth in
India and China can be attributed to the Hotel Nuve Heritage
STB's agressive marketing campaigns to 19 rooms
tourist from tier 2 and tier 3 cities of these
countries.
Upcoming hotels
Supply Outlook
Courtyard by Marriott
Singapore Novena
The Duxton Club (The Duxton House)
446 rooms entered the market as of YTD The market is nearing the end of a
September 2017. As a whole, 2017 is protracted rise in new hotel supply. The Yotel Orchard Road
expected to see a total supply influx of number of new hotels opening post-2018 Sofitel Singapore City Centre
3,122 rooms which will lead to a 5% is substantially less when compared to the
increase in total number of keys in the supply wave witnessed over the past two InterContinental Robertson Quay
market. A majority of the new stock arises years. On the whole, Singapore’s outlook
from the midscale and upscale market is positive with trading performance
which is in line with falling corporate comparing favourably to many regional
budgets and the rise of regional leisure financial hub markets. Notable hotel deals
tour groups who tend to prefer more There were no hotel transactions
affordable accommodations.
in H1 2017
Note: Singapore refers to Upscale
Source: STR Global (YTD Jul 2017), Singapore Tourism Board, JLL
ADR - Average daily rate, RevPAR - Revenue per available room, OCC-Occupancy21 Hotel Destinations – Asia Pacific
Sri Lanka
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (YTD July 2017) Number of New Rooms (2017)
66.4% USD 111 USD 73
1.2 million 1,544 rooms
Tourism Demand
New notable hotels As at YTD July 2017, international visitor As at YTD July 2017, India was the top
arrivals to Sri Lanka reached 1.2 million, an source market to Sri Lanka, accounting
Movenpick City Hotel Colombo increase of 3.6% y-o-y, fuelled by sustained for 16.6% of the overall total. Second to
219 rooms demand from traditional (UK, Germany India is Mainland China, which accounts for
and France) European markets. Sri Lanka 13.4%. Third is the United Kingdom which
Marriott Weligama has set a target of 2.5 million international comprises 9.8% and enjoyed growth of 8.0%
198 rooms visitor arrivals in 2017 and a medium-term y-o-y. Significant y-o-y growth was also
Amari Galle goal of 4.2 million by 2020. seen in visitors from Russia (+11.8%) and
Australia (+8.6%).
172 rooms
Jetwing Colombo Seven
80 rooms
Mandarina Colombo
80 rooms
Upcoming hotels
Shangri-La Colombo Supply Outlook
Sheraton Colombo
Approximately 774 rooms in six hotels have Hotel development continues apace
The Hotel Colombo been added to supply in Sri Lanka in 2017 within Sri Lanka, with around 2,585
to date. This includes the 80-room Jetwing rooms expected to open between 2018
DoubleTree by Hilton Colombo Colombo Seven, the 80-room Mandarina and 2020. Major international operators
International Airport Colombo, the 291-room Movenpick City such as Hilton, which recently announced
Hotel Colombo, the 172-room Amari Galle, seven new properties in the country, are
the 25-room Sunhill Hotel in Mount Lavinia continuing to expand their presence. This,
and the 198-room Marriott Weligama. combined with continued improvements
Notable hotel deals A further 770 rooms in two hotels are in international connectivity and domestic
expected to open before the end of 2017. infrastructure, will help to support
There were no hotel transactions
This includes the landmark 500-room increasing tourism within the country.
in H1 2017
Shangri-La Hotel Colombo at One Galle
Face.
Note: Sri Lanka refers to Marketwide
Source: STR Global (YTD Dec 2016), Sri Lanka Tourism Development Authority, JLL
ADR - Average daily rate, RevPAR - Revenue per available roomHotel Destinations – Asia Pacific 22
Sydney
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (YTD March 2017) Number of New Rooms (2017)
89.4% AUD 254 AUD 227
678,000 816 rooms
Tourism Demand
For the YTD March 2017, 11.4 million visitor Mainland China is Sydney’s largest New notable hotels
nights were recorded in Sydney City. This source market, contributing 25.5% of all
represents 6.4% of the total visitor nights international visitor nights for the year to There were no new hotel openings
in Australia with international visitor date March 2017, while also representing in H1 2017
nights accounting for 75.1% and domestic growth of 25.5% year on year. The next
nights 24.9% of the total visitor nights greatest sources of visitation were the UK
within Sydney. International visitor nights (10.7%), the USA (8.4%) and Japan (6.6%).
recorded a 4.9% Y-O-Y increase to 8.5 Within the current market, demand is Upcoming hotels
million visitor nights with domestic visitor outstripping supply growth (in terms of
nights increasing by 27.3% to 2.8 million rooms built) resulting in a strong trading Sofitel Sydney Darling Harbour
visitor nights. environment. Crowne Plaza Sydney
SKYE Hotel Suites Sydney
Meriton Sydney Sussex Street
Supply Outlook Notable hotel deals
Four Points by Sheraton
During the first half of 2017 we are aware of The outlook for Sydney’s accommodation Sydney Central Park
no new hotel openings within Sydney City. market remains strong. Both occupancy and Intercontinental Sydney Double Bay
However, there are six accommodation ADR are at record levels on a moving annual
developments currently under construction average basis, with ADR growth expected to
and due for completion the next two further improve in line with the consistent
years. If all six projects materialise, this supply outlook and a more stable demand
will represent an increase of 1,256 rooms environment with growth across a variety
or 7.2% on the existing stock as at 31 of segments including corporate, cruise and
July 2017. For the second half of the year inbound. Occupancy is predicted to remain
we expect 816 rooms to be added to the in the high 80% range in the coming years,
market. further strengthening RevPAR.
Note: Hotel Supply within the Sydney City Region
Source: STR Global (YTD Jul 2017), Tourism Research Australia, JLL
ADR - Average daily rate, RevPAR - Revenue per available room, OCC - Occupancy23 Hotel Destinations – Asia Pacific
Taipei
Quick Facts
OCC ADR RevPAR
International Visitor Arrivals (YTD June 2017) Number of New Rooms (2017)
68.1% TWD 6,966 TWD 4,742
5.1 million 661 rooms
Tourism Demand
New notable hotels Total visitor arrivals to Taiwan reached Mainland China remains Taiwan’s largest
approximately 5.1 million (YTD June 2017), source market, amounting to almost a
Aloft Taipei Beitou down 5.7% over the same period in 2016 quarter of total visitor arrivals. To cover the
292 rooms due to the decline of the Mainland Chinese decline in the Mainland Chinese market,
market. Due to the tensions between the Taiwan’s government has been actively
CitizenM Taipei North Gate cross strait relations between Taiwan and promoting to other source markets. In
267 rooms Mainland China, visitors from Mainland September 2016, visa restrictions to Taiwan
S Hotel China declined significantly by 40.1% y-o-y. were eased for citizens of ASEAN nations,
and as a result, the Southeast Asia market
102 rooms
has grown by 16.1% in 2016. As at YTD June
2017, the emerging Vietnamese market
grew by a staggering 113.4% y-o-y and
Upcoming hotels Thailand market grew by 82.2% y-o-y.
Courtyard by Marriott
Taipei Downtown
Renaissance Hotel Taipei
MITSUI Garden Hotel Taipei
Hotel Indigo Taipei
Supply Outlook
As at YTD June 2017, a total of 558 hotels The Taiwanese government has expanded
with 36,594 rooms were recorded. Taipei on other key source markets such as the
hotel supply is characterised by the ASEAN nations, Japan and South Korea, all
Notable hotel deals dominance of independent and locally of which have continued to exhibit positive
There were no hotel transactions branded hotels, with international hotel growth as at YTD June 2017. Nevertheless,
in H1 2017 operators moving into the market only in we are cautiously optimistic that the
recent years. As at the YTD August 2017, government’s diversification efforts and
two international hotels were recorded to the recent opening of the Taiwan Taoyuan
have opened – Aloft Hotel Taipei Beitou and International Airport MRT will help anchor
CitizenM Taipei in Ximending. Taipei as a major tourism destination in
Asia.
Note: Taipei refers to Luxury & Upper Upscale
Source: STR Global (YTD Jul 2017), Tourism Bureau, Ministry of
Transportation and Communications of the Republic of China, JLL
ADR - Average daily rate, RevPAR - Revenue per available roomHotel Destinations – Asia Pacific 24
Tokyo
Quick Facts
International Accommodation Guest Number of New Rooms OCC ADR RevPAR
(YTD June 2017) (2017)
82.3% JPY 27,045 JPY 22,251
9.2 million 749 rooms
Tourism Demand
A total of 26.5 million visitor nights In recent months trading performances New notable hotels
were spent in Tokyo as at YTD June in Tokyo has improved due to a steady
2017, representing 13.1% of all visitor increase in inbound visitors. This is in Remm Roppongi
nights across Japan. International contrast to 2016 where hotel trading 400 rooms
accommodation guests, which contribute performance in Tokyo showed a slow-down
34.8% of all accommodation guests in due to higher room rates, diversification of Moxy Tokyo Kinshicho Hotel
Tokyo increased 15.1% y-0-y to 9.2 million tourists' destinations and the proliferation 205 rooms
while domestic accommodation demand of alternative accommodation options such TRUNK HOTEL
increased by 2.8% y-o-y to 17.3 million. as Airbnb.
15 rooms
Upcoming hotels
Hyatt Centric Ginza Tokyo
Pullman Tokyo Tamachi
The Strings Hotel Shinjuku
Supply Outlook Four Seasons Tokyo Otemachi
Edition Tranomon
The only new supply in 2Q 2017 was the Moving forward, Tokyo hotel trading
Edition Ginza
15-room Trunk Hotel. There are a number performances are expected to show further
of luxury hotel openings in the pipeline in growth but at a slower pace than witnessed
anticipation of the 2020 Tokyo Olympics over the past two years. Future, RevPAR
and the post-Olympics demand. Major new improvement will likely be driven by ADR Notable hotel deals
supplies include Hyatt Centric Ginza Tokyo increases as occupancy is currently at a
and Pullman Tokyo Tamachi which are relatively high level. There were no hotel transactions
scheduled to open in 2018. Two Editions in H1 2017
and the Four Seasons Otemachi are
scheduled to open in 2020.
Note: Tokyo Hotels refers to Upscale
Source: STR Global (YTD July 2017), Japan Tourism Agency, JLL
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