Gateway cities remain focus of Asia Pacific hotel investors
Hong Kong – 5 July 2017 –
Asia Pacific hotel investors remain focused on gateway cities such as Hong Kong, Singapore, Sydney and Melbourne, as they offer positive tourism and trading fundamentals while the long-term demand and supply is in balance, according to Jones Lang LaSalle.
Investors also continue to seek opportunistic investments in key emerging tourism markets such as Vietnam.
Asia Pacific hotel investment volumes in the first half of 2017 were just over US$2.9 billion, with a shortage of investment grade hotels on the market compared to the previous few years. JLL recorded 28 hotel deals across six countries that amounted to over 5,000 keys, with the average price per key of all transactions recorded at US$486,600.
It says Airbnb and other alternative accommodation operators have disrupted hotel performance in many larger cities.