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Heads on beds on the increase in Sydney and Melbourne

Eased restrictions spur ever-building hotel occupancy

Finally, some light at the end of the tunnel for Australia’s hotel industry as lockdowns end and travel restrictions ease with hotel occupancy levels improving, according to preliminary data released this week by STR.

With lockdowns in Sydney and Melbourne pulling national occupancy down to as low as 25.9 percent to August 8, now they have lifted, the numbers are bounding back reaching as high as 51.1 percent occupancy on October 30. 

STR’s Pacific regional manager, Matthew Burke said lockdowns and state travel restrictions have made the past four months extremely difficult for the hotel industry.

“However, a progressive approach to vaccinations and the easing of restrictions have led to an increase in travellers and hotel demand with leisure guests driving performance,” he said.

“Based on our forward-looking data, and from the experience of Australia’s first recovery, we will likely see that leisure demand dominate recovery for the remainder of 2021.”

Key STR-defined markets in the country each reached their highest daily occupancy level on 30 October (Saturday). 

At 56.9 percent, Victoria was the highest after being as low as 22.6 percent just six days prior. 

Sydney Surrounding improved occupancy to as high as 48.4 percent after an early October low point of 10.6 percent.

Sydney was below 20.0 percent in early October but improved to 37.0 percent during the final Saturday of the month. 

Melbourne had been stuck in the mid-20 percent range but climbed to 33.5 percent.

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