Japan, hong kong and singapore lead asia-pacific hotel markets

Japan, Hong Kong and Singapore continue to lead the Asia-Pacific hotel markets as the top tourist destinations in the region. Overall, the hotel sector strengthened in the first half of 2015, with international arrivals up 4.4 per cent in the year to end of April 2015 compared to the same period a year before. Occupancy also rose to 31bps in H1 2015, while investment volume increased to $6.48 billion.

ADR and RevPAR dipped, though, according to CBRE's latest report.

Thailand rebounded in terms of tourist arrivals in the first five months of 2015, but has been struck badly by the recent bomb explosions in August. Japan (Tokyo, Osaka) and Australia (Melbourne, Sydney) were the top performing markets in H1 2015, with the Tokyo Olympic Games in 2020 creating major opportunities for a boost.

Singapore's Golden Jubileee is also set to provide a similar effect for the country. Korea tourism, on the other hand, struggled amidst the MERS outbreak, while Hong Kong, Korea, Taiwan and Thailand tourism are expected to be hit hard by the yuan devaluation.
 
Australia and Japan remain key destinations for hotel investment capital, with outlook for investment remaining positive, as investors venture out to regional cities in search of higher yields.