Singapore Market Outlook H2 2025

HOTEL Luxury hotels outperform amidst affluent demand REVPAR AND AVERAGE ROOM RATE (ARR) BY HOTEL TIER • Among the various hotel tiers, only the Luxury segment recorded an increase in average room rate of 0.6% in 2025 May YTD, driven by demand from affluent travellers.

OCCUPANCY BY HOTEL TIER

• Occupancy rates of economy hotels are inching closer to pre pandemic levels. Overall islandwide occupancy rates remain at about 7.1 percentage points below their pre-pandemic levels.

0 100 200 300 400 500 600

0 100 200 300 400 500 600 700

88.5%

86.0%

80.0%

90%

88.8%

78.6%

84.1%

80.3%

80.4%

80%

70%

60%

RevPAR ($)

Average Room Rate

50%

2019 2020 2021 2022 2023 2024 2025 May YTD

40% Average Occupancy Rate

2019 2020 2021 2022 2023 2024 2025 May YTD

Luxury RevPAR

Upscale RevPAR Mid-Tier RevPAR

Economy RevPAR Luxury ARR

Upscale ARR

Mid-Tier ARR

Economy ARR

Luxury Upscale Mid-Tier

Economy

Source: STB, Cushman & Wakefield Research

Source: STB, Cushman & Wakefield Research