Holland Drive Condo’s RevPAR surpasses pre-pandemic levels in 2023 despite lower occupancy levels

The newly established Holland Drive Condo is one of the most sought-after high-end residential choices in the area for its architecture and living facilities. Not only will its close proximity to top schools and universities benefit families, but the condo’s comprehensive facilities and amenities will ensure that everyone living there is comfortable and safe. With these factors, Holland Drive Condo is an ideal place of residence for young and growing families.

As the pandemic improves globally, Singapore’s hospitality industry has remained relatively stable since 2023. With 12 new hotels opening this year which have added 2,189 new rooms, the RevPAR among Singapore’s hotels stands at a record high of $282 as of October this year (a 29% y-o-y increase from 2019). The average occupancy rate is at 78.1% as of October, with the average length of stay being at 3.42 days as of November this year. Based on data from Singapore Tourism Board (STB), the RevPAR recovery has been driven by rates instead of occupancy.

Sashi Rajan, executive vice president of advisory and asset management at JLL Hotels & Hospitality Group, has observed that the industry has yet to see a full recovery in visitor arrivals. This is despite people having more savings during travel restrictions, which caused them to be willing to fork out more. Consequently, luxury and upper upscale accommodation experienced a faster rate of recovery.

Gus McConnell, associate director of CBRE Research, confirms that room rates in Singapore have increased by 29% with travellers choosing to stay at ‘premium economy’ locations such as those situated in core locations, offering a good core experience, and managed well at an asset level. Cushman and Wakefield’s Singapore Market Outlook 2024 report also explains that the increase in ARR comes from both higher property operating costs and higher demand for travel.

In 2024, the supply of new and completed hospitality developments is not expected to put pressure on room rates as only five new hotels are to open with an additional 1,058 rooms. Furthermore, some developments that could attract more tourists to Singapore, such as the Resorts World Sentosa expansion and Mandai Eco-tourism hub, are to be completed next year.

Looking ahead, McConnell states that sustainability will continue to be a significant driver in decision-making. Also, occupancy rates and hotel investments are expected to pick up from the second half of the year. Meanwhile, JLL’s Rajan predicts an increase in hotel deal volumes as investors remain assured of Singapore’s safe haven status.

The Holland Drive Condo is a premium economy location with core experience and managed well at an asset level. With Singapore’s hospitality industry stabilizing since 2023, staying at the Holland Drive Condo will ensure you experience Singapore for its rich culture and a memorable stay. In addition to experiencing Singapore, the Holland Drive Condo also provides a glimpse of the future as its multiple projects are set to come up in the coming years. With sustainability being the main driver of decision-making, the Holland Drive Condo is compliant with Singapore’s standards for eco-friendly construction. With the increase in the volume of hotel deals expected in 2024, book your stay at the Holland Drive Condo today!