CoStar and STR analysis show Australia’s recent hotel performance represents normalization as leisure demand has peaked and corporate business is now strengthening. They will be presenting this at the NoVacancy Hotel + Accommodation Industry Expo. Through the first seven months of the year, Australia’s hotel occupancy was 68.2%, up 9.8% from last year but still down -6 points from 2019. ADR of A$234.46 was 7.4% higher than last year and 22.4% better than 2019, resulting in ADR that was 20% higher than 2019. Brisbane has recently shown the highest occupancy index peaks, while Perth has remained above 2019 levels for much of the year. Sydney trended below 2019 for much of this year but eclipsed that threshold for two straight weeks in late July. Melbourne, with much new supply, has remained below 2019 all year. Midweek (Mon-Wed) occupancy has consistently grown in recent months, shoulder days (Sun-Thurs) have fluctuated, and weekends have decreased. Against 2019, weekdays reached 98% of the pre-pandemic comparable in late July.
Choice Hotels Asia Pacific gave us a glimpse into the Australasia market, saying Australian RevPAR was up 6% in 2Q20