Mixed start in 2012 for Asia Pacific hotels

Tuesday, 6 March 2012 00:00 -     - {{hitsCtrl.values.hits}}

According to data compiled by STR Global, hotels in the Asia Pacific region experienced mixed results in the three key performance metrics for January 2012 when reported in U.S. dollars.

In year-on-year measurements, the Asia Pacific region’s occupancy reported a 3.4% decrease to 60%, ADR increased 9.8% to US$ 152.92 and RevPAR was up 6% to US$ 91.81.

“The region saw a slightly weaker start in the new year, with a small decline in demand (-0.8%) reflected in a drop in occupancy (-3.4%),” said Elizabeth Randall, managing director of STR Global. “Average rate growth helped to boost RevPAR in the region. The Maldives, which have been in the news lately, continue to show double-digit demand growth (+11.6%) and increases in occupancy and average room rates. Additionally to the perceived stability of the country, currency exchange rates play a key role in the island nation, with average room rates increasing 37.4% in local currency but only 15.6% in British pounds, the currency of its main source market.”

Highlights from key market performers in January 2012 in local currency (year-on-year comparisons):

Kuala Lumpur, Malaysia (+10.0% to 69.9%), and Osaka, Japan (+10.0% to 74.7%), reported the only double-digit occupancy increases.

Hong Kong rose 19.2% in ADR to HK$ 1,996.39, reporting the largest increase in that metric, followed by Jakarta, Indonesia, with a 16.3% increase to IDR 882,093.23.

Three markets experienced RevPAR increases of more than 15%: Osaka (+18.9% to IDR 7,832.13); Bali, Indonesia (+16.4% to IDR 1,169,424.37); and Hong Kong (+15.9% to HK$ 1,591.90).

New Delhi, India, fell 8.5% in RevPAR to INR 5,148.10, reporting the largest decrease in that metric.

Highlights from key market performers for January 2012 in U.S. dollars (year-on-year comparisons):

Hong Kong achieved the largest ADR increase, rising 19.7% to US$ 257.37, followed by Jakarta (+17.9% to US$ 97.82) and Osaka (+15.8% to US$ 136.89).

New Delhi decreased 15.8% in ADR to US$158.25. Four markets experienced RevPAR increases of more than 15%: Osaka (+27.5% to US$ 102.24); Bali (+18.0% to US$ 129.69); Hong Kong (+16.4% to US$ 205.22); and Jakarta (+16.3% to US$ 60.34).