Hotels in the Asia-Pacific region posted growth across the three key performance metrics during 2Q2018, according to data from STR, with notable peaks seen in Australia, Indonesia and Singapore.
The regional occupancy level was at 70.4%, up 1% from the previous quarter. Average daily rate (ADR) rose 3.1% to US$105, while revenue per available room (RevPAR) was up 4.1% to US$73.95.
In Australia, the 73.2% (+1.3%) absolute occupancy level was the highest for any 2Q on record in the country, STR reported. That came even with 2.1% more room nights available compared with 2Q2017. ADR was at A$178.60 (US$131.70) (+1.5%) and RevPAR A$130.71 (+2.8%).
Gold Coast, host of the XXI Commonwealth Games in April, was the standout Australian market with RevPAR up 24.2% to A$138.40 for the quarter.
STR further observes that performance growth was stronger outside of the capital markets as supply growth had a greater effect on RevPAR comparisons in Perth (-4.5% to A$113), Sydney (-2.1% to A$174.70) and Hobart (-0.7% at A$125.50). However, in absolute values, Sydney remained the top performer in the country.
Another market with notable performance is Indonesia, whose 60.6% (+2.5%) absolute occupancy level was the best the country has since for 2Q since 2014. ADR grew 3.5% to over one million rupiah (US$69.40), and RevPAR was up 6.1% to 629,693 rupiah.
STR analysts note that performance increases were seen in Bali (+9.1%), Jakarta (+4.1%), Surabaya (+7.4%) and Yogyakarta (+8.7%). In June specifically, Bali’s RevPAR grew 15.9% to over Rp1.2 million rupiah, with demand lifted by Eid al-Fitr and the school holiday.
Turning to Singapore, occupancy rose 2.9% to 81.3% – the highest for 2Q the city has seen since 2013 – even with significant supply growth (+4.5%). ADR was up 0.9% to S$263.60 (US$193.40), and RevPAR grew 3.8% to reach S$214.40.
June was the strongest month of the quarter with RevPAR up 6.9% to S$217. According to STR analysts, the country’s demand was boosted by the North Korea-US Summit on June 12. Hotels in the Orchard Area, specifically, reported high ADR premiums and three consecutive days with double-digit RevPAR growth from June 10 to 12.
