Skift Take
The hotel sector in the Asia Pacific is doing better than before, but filling rooms — especially with business events — will take a bit longer.
This year is shaping up to be a “year of contrasts” for the Asia Pacific hotel market, according to real estate services company JLL.
Big ticket events like Taylor Swift’s concerts in Melbourne, Singapore, Sydney and Tokyo, and travel during Lunar New Year have helped improve occupancy rates. But business travel budgets have tightened and leisure travelers are spending more cautiously.
The drivers of growth? Chinese demand, which has not fully recovered yet, and the strong potential of India’s outbound travel demand driven by its rising middle class.JLL estimates that increased investor interest and improved market fundamentals could lead hotel transaction volumes in Asia Pacific to reach around $12.2 billion this year.
Monetary policies and investor optimism, especially in core markets like Japan, are some of the main drivers of this growth.
Source: JLL's Hotel Investment Highlights Asia Pacific The Numbers Say it All“The region’s strong tourism fundamentals, more pronounced since the reopening of borders, will continue drivin