The prospects for Indonesia’s hospitality sector may be less grim than painted in recent media reports on more hotels closing or going up for sale amid the pandemic, with major property consultants saying that they are not seeing an uptick in hotel sales within the country.
On the contrary, a flurry of new hotel openings across the country proves that demand remains strong.

Aldi Garibaldi, senior associate director of capital markets & investment services at Colliers International Indonesia, said selling property assets would usually occur when lenders were putting significant pressure on borrowers.
“There are steps to take to sell a property and (hotel owners) will usually hire a consultant to manage the process – which we are not seeing happening,” he said.
Corey Hamabata, senior vice president for Asia Pacific investment sales at JLL Hotels and Hospitality Group, said: “I would counter (news reports that many hotels in Indonesia are up for sale) with the question: ‘How many properties have we actually seen being transacted in this environment?’ As far as we are aware, (there have) been very few.”
Historically, in times of crisis, sales activity of real estate businesses slows down significantly because there is a lot of uncertainty among buyers and sellers. “We saw this last year when Asia-Pacific transaction volumes were down by nearly 60 per cent year-on-year,” Hamabata said.
Unlike the global economic crisis 12 years ago where lenders were forcing borrowers to sell their assets, Hamabata was not seeing that same storyline unfold amid the pandemic so far.
He also saw that hotels in Indonesia were not performing too badly – thanks to its huge domestic market – such that it would trigger hotel owners to sell their properties.
As such, the move by a handful of hotel owners to sell their properties in Indonesia was more likely due to strategic reasons, such as finding better opportunities to invest elsewhere, he said.
As well, the occurrence of new hotel openings in Indonesia indicates that there are opportunities in the market, said Satria Wei, managing partner at Hotelivate. “In fact, I am handling a couple of hotels which are preparing to open this month. Investors would not dare do so unless they see an opportunity,” he added.
Satria also noted that Indonesia’s hotel industry had started to recover last October-November. “It slowed down again (due to activity restrictions), but this proves that demand and opportunity are still there,” he said.


























RedDoorz has partnered with Singapore-based charity organisation Daughters Of Tomorrow (DOT) to launch a CSR campaign where Singaporeans can donate their unused SingapoRediscovers Vouchers (SRVs) to help DOT beneficiaries redeem temporary accommodations at the group’s hotels.
As part of the initiative, RedDoorz will also match every room night donated by the public during the campaign.
Established in 2014, DOT aims to facilitate livelihood opportunities for underprivileged women and support them in achieving financial independence and enable social mobility for their families. DOT beneficiaries are women aged 20-60 from low-income families, most of whom reside in government-subsidised flats and face multiple internal and external stressors that affect their job prospects and ability to break out of poverty.
The initiative is part of Trip.com’s Pay It Forward campaign, which calls on Singaporeans to donate their SRVs to selected charities and organisations via their platform. Singaporeans may make their donations through Trip.com’s website here.
Adil Mubarak, vice president of operations, RedDoorz, said: “RedDoorz strongly believes in the importance of supporting our communities and we hope that through this initiative, we can provide much needed help for people who might be more vulnerable during these tough times.”
DOT fundraising and events manager, Cheryl Chen, added: “In the past year, we have seen an increase in the number of women seeking emergency housing due to less-than-ideal situations at home. The Pay It Forward campaign will help provide these women with interim housing while they find alternative permanent housing solutions.”