The Asia Pacific hotel sector is a beneficiary of the region’s steady economic development, according to real estate services firm, Cushman & Wakefield’s the recently released report – Hotel Views 2013.
"The hospitality sector is likely to remain active with business and investments over the next five years,” said Akshay Kulkarni, Regional Director for Hospitality in South & Southeast Asia for Cushman & Wakefield. “Substantial inventory will be introduced in various micro markets in the region; intensified competition from both local and international brands will be inevitable and the region will evolve to be more diverse than it is today."
As the region’s dependency on western economies has been reducing over time with expanding regional demand, Southeast Asia emerged as the fastest growing sub-region in the Asia Pacific tourism industry with 15pc increase in international arrivals over the previous year, stated Cushman & Wakefield.
A few hotel groups have started to focus their business development efforts on China and India. The firm noted the rapid economic growth in these two nations is directly proportional to the surge of outbound tourists.
Tokyo, Bangkok and Phuket also saw significant growth in tourist arrivals in 2012 whilst Seoul reported a slight dip in 2012 as compared to the previous year.