Share
KUALA LUMPUR (July 3): The overall occupancy in Asia-Pacific remained low at less than 30% with room rates close to 50% of what they were in 2019, according to CBRE’s Implications for Asia Pacific Hotels June 2020 report.
“Lockdown restrictions across the region gradually began lifting in mid-May. Until regional and international travel becomes easily available, growth will be confined to domestic and drive-leisure markets. There has been a substantial uplift in interest in easily accessible resorts,” it said.
Regional travel remained at a standstill owing to tight restrictions by authorities, significantly reduced air traffic and risk aversion by travellers. In April, visitors to Hong Kong fell nearly 100% from the same month last year, reported CBRE.
It added, “Hotel investors are still in wait-and-see mode. There is a large gap between vendor and purchaser expectations. CBRE has not yet seen any significant transactions that indicate where prices now sit.
CBRE maintained its forecast of a global recession in 2020, with a sharp downturn in the second quarter of 2020 (2Q20) and the start of a rebound in 3Q20. According to the report, in May 2020, its Asia-Pacific gross domestic product (GDP) growth forecast was revised down to -1.4% from the previous forecast of 4.2% made in January.
Stay safe. Keep updated on the latest news at www.EdgeProp.my
Click here for more property stories
TOP PICKS BY EDGEPROP
Medan Idaman Business Centre
Setapak, Kuala Lumpur
HiCom-Glenmarie Industrial Park
Shah Alam, Selangor
Taman Matang Jaya, Sungai Buloh
Sungai Buloh, Selangor
