STR: Asia Pacific hotel performance for August 2019
- Seoul achieves high occupancy with demand driven by Chinese arrivals
- Shanghai records highest August room rate since 2010
U.S. dollar constant currency, August 2019 vs. August 2018
- Occupancy: -2.2% to 73.4%
- Average daily rate (ADR): +0.3% to US$101.54
- Revenue per available room (RevPAR): -1.9% to US$74.57
Local currency, August 2019 vs. August 2018
Seoul, South Korea
- Occupancy: +10.8% to 81.8%
- ADR: -1.6% to KRW159,048.02
- RevPAR: +9.1% to KRW130,158.81
The absolute occupancy level, driven by a 12.7 increase in demand, was the highest for any month in the Seoul market since October 2016. According to the Korea Tourism Organization, the number of visitors from China rose 20.9% in August and 27.5% for the first eight months of the year. The organization has pointed to improved sentiment about South Korea and new available flights as factors in the arrival growth.
- Occupancy: -3.1% to 74.4%
- ADR: +3.4% to CNY631.21
- RevPAR: +0.2% to CNY469.48
The absolute ADR level was the highest for an August in Shanghai since 2010. In addition to 2.3% supply growth, STR analysts attribute the decline in occupancy to a dip in demand caused by a smaller scale of exhibitions held in the market when compared to last August. STR and Tourism Economics' latest forecast projects Shanghai's RevPAR to fall 3.0% for 2019.
STR provides premium data benchmarking, analytics and marketplace insights for global hospitality sectors. Founded in 1985, STR maintains a presence in 15 countries with a corporate North American headquarters in Hendersonville, Tennessee, an international headquarters in London, and an Asia Pacific headquarters in Singapore. STR was acquired in October 2019 by CoStar Group, Inc. (NASDAQ: CSGP), the leading provider of commercial real estate information, analytics and online marketplaces. For more information, please visit str.com and costargroup.com.