{
  "id": 9732908,
  "title": "Asia-Pacific hotels a ‘most compelling’ investment amid travel growth, flat supply: CBRE",
  "url": "https://urgent.news/2026/09/25/asia-pacific-hotels-a-most-compelling-investment-amid-travel-growth-9732908",
  "topic": "business",
  "section": "Business",
  "published": "2026-09-25T08:00:16.000Z",
  "source": {
    "name": "South China Morning Post - Hong Kong",
    "slug": "south-china-morning-post-hong-kong",
    "url": "https://www.scmp.com/business/article/3368759/asia-pacific-hotels-most-compelling-investment-amid-travel-growth-flat-supply-cbre"
  },
  "original_language": "en",
  "account": "Investor interest in hotel assets across Hong Kong and the broader Asia-Pacific region surged during the first half of the year, driven by heightened consumer enthusiasm for travel and limited property supply, as reported by CBRE. The region witnessed US$8 billion in investments, marking a 21 per cent increase compared to the previous year, with Japan, mainland China, and South Korea leading the charge, according to a CBRE report released on Thursday. Steve Carroll, CBRE's head of hotels and hospitality for Asia-Pacific, emphasized that the \"hotels have become one of the most compelling real estate investment sectors in Asia-Pacific\" due to robust travel demand and minimal new supply, which have bolstered both operational performance and asset values. However, rising borrowing costs may temper investment activity in certain markets later in the year, Carroll noted, highlighting that investor focus remains concentrated in regions experiencing strong growth and favorable supply-demand dynamics. Despite a projected 5.1 per cent rise in passenger traffic this year, as indicated by the International Air Transport Association, this growth rate trails behind Africa's 10 per cent increase, CBRE data revealed. Nonetheless, Asia-Pacific is poised to be the second-best performing region, only trailing Africa. Markets like Vietnam and Japan have demonstrated resilience in the face of travel disruptions stemming from the conflict between the US and Iran. Hanoi expanded its visa exemption policy to incorporate 12 additional European nations, while Japan welcomed more visitors from the Americas and Europe, compensating for a decline in arrivals from mainland China. The report projects that hotel supply in Asia-Pacific will remain largely stagnant, with an estimated compounded annual growth rate of 2.3 per cent from 2025 to 2029, falling short of the historical average of 5.1 per cent. Mainland China is expected to contribute 49 per cent of the new hotel supply in the region. In Hong Kong, hotel occupancy rates have yet to reach pre-pandemic levels but rose by 3 per cent year-on-year as of July, primarily due to the conversion of some mid-scale hotels into student accommodations, easing market pressures. Hong Kong recorded HK$8.2 billion (US$1.04 billion) in hotel property deals involving approximately 2,550 rooms so far this year, according to Colliers. The majority of these transactions were related to student accommodation conversions. Ada Choi, CBRE's head of research for Asia-Pacific, observed that \"new hotel development remains challenging across much of Asia-Pacific due to elevated construction and financing costs.\" Consequently, investors are increasingly inclined to enhance value through repositioning and conversion strategies rather than embarking on new construction projects. With limited new supply anticipated in many markets, established hotel assets are well-positioned to capitalize on sustained demand growth and enhanced operating performance.",
  "summary": "Investor appetite for hotel assets increased in Hong Kong and the wider Asia-Pacific region in the first half of the year as consumers showed growing eagerness to travel and constrained supply supported property values, according to CBRE. The region netted US$8 billion of investment in the period, up 21 per cent from a year earlier, with Japan, mainland China and South Korea attracting the most…",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 2,
    "also_reported_by": [
      {
        "outlet": "South China Morning Post",
        "title": "Asia-Pacific hotels a ‘most compelling’ investment amid travel growth, flat supply: CBRE",
        "url": "https://urgent.news/2026/09/25/asia-pacific-hotels-a-most-compelling-investment-amid-travel-growth",
        "published": "2026-09-25T08:00:16.000Z"
      }
    ]
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}