The introduction of international travel restrictions and the closing of the border with Mainland China has forced Hong Kong hoteliers and investors to consider whether to buy, sell or hold, a new report from Colliers International says.

According to Unprecedented times to explore hotel opportunities, while efforts have been made to create a 'staycation' market, 12-months of disruption has seen COVID-19 compound the negative impact of social unrest.

Unprecedented times to explore hotel opportunities (Colliers report) - At a glance:

  • Hong Kong's hotel sector has been challenged in the last 12 months with COVID-19 compounding the effects of city-wide social unrest.
  • Hoteliers and investors with a long-term vision should take this opportunity to revisit strategies and establish or expand their footprint in the city.
  • Conversions from hotels into other uses provide viable options for owners and investors.

However, Colliers International Senior Director for Capital Markets, Shaman Chellaram, told WILLIAMS MEDIA the potential re-introduction of regular travel between Hong Kong and Mainland China provided optimism for recovery as pre-COVID-19 figures demonstrated cross-border travel contributed to 80 per cent of the city's inbound tourism.

"Uncertainty in the market is creating the potential for owners, investors and private families to consider their position in the sector" he said.

Read the full article at Colliers International - Hotels