Tokyo Hotel Average Daily Rates Beat Pre-Pandemic Numbers for Two Straight Months
Skift Take
- STR said the reopening of Japan’s international border several months ago, along with the National Travel Support campaign, have helped boost Tokyo’s hotel average daily rate beyond pre-pandemic comparables for two straight months.
- Nikkei reported that Japan will launch a project to encourage global hotel operators to open luxury properties in national parks as early as in 2024.
- Hong Kong’s Chief Executive John Lee announced the general requirement for indoor and outdoor masking has been lifted.
STR said the reopening of Japan’s international border several months ago, along with the National Travel Support campaign, have helped boost Tokyo’s hotel average daily rate beyond pre-pandemic comparables for two straight months. The rise in room rates was preceded by improving occupancy which came in at 74.8% in December 2022 and dropped slightly to 69% in January 2023 due to seasonality. While January occupancy was 11.8% below January 2019, ADR of JPY20,055.58 beat January 2019 by 14.7%. STR said operators in Japan are cautious about achieving higher rates at the expense of occupancy and will often let occupancy growth lead before taking steps to push ADR. STR said Tokyo was well below pre-pandemic levels in top and bottom line performance for much of 2022 but there has been a clear upward trend since the fourth quarter of last year.
Nikkei reported that Japan will launch a project to encourage global hotel operators to open luxu
