Thailand Strong Amid Drop in Asia-pacific Hotel Investment

• Proeksa Meas
• 15 January 2018
• Construction Focus
• 1278 Views

Investment in the hotel real estate market in Asia Pacific has fallen 22 percent in the first nine months of 2017 compared to the same period last year according to a report by real estate consultancy JLL.

The group noted that the drop to USD5.3 billion in investments was largely due to a lack of assets on sale and a significant gap in pricing between buyers and sellers.

JLL identified Hong Kong, Japan and Thailand as the key market drivers with Japan enjoying a growth in investment thanks to the upcoming Tokyo Olympics in 2020. The Thai hospitality industry however continues to see record growth with USD335 million in less than 10 hotel transactions in the first nine months with external investment growing thanks to the stable political environment.

The report expected total revenues over the year to reach between USD7.5 billion and USD8 billion, which is down on last year’s USD8.6 billion total.