Forecast for Hotels and Hospitality Sector in Asia Pacific for 2025

or the sector. The tourism demand and hotel performance in Asia Pacific are showing signs of stabilization with pockets of growth in the hospitality sector. The region is positioning itself as a potential global tourism hub in the coming years.

One of the key highlights of the report is the growth of tourism in Asia Pacific. The increasing number of travelers is influenced by various macroeconomic and social media trends. Understanding these emerging travel patterns and impacts, such as changes in foreign exchange rates and the role of social media in travel planning, will be crucial in capturing future tourism demand.

The report also delves into the robust hotel investment trends in Asia Pacific. Markets like Japan, Korea, Australia, and Singapore are witnessing significant hotel investment activities. As of August 2025, hotel investment volumes in Asia Pacific have reached US$12.1 billion year-to-date and are expected to close the year near the record high of US$16.3 billion set in 2024. Countries like Japan, Australia, and Korea are driving the investment volumes. Additionally, there is a surge in investment in co-living spaces in markets like Korea, Singapore, Australia, and Hong Kong SAR, as investors explore new opportunities in the residential market.

Furthermore, the report highlights the improvement in hotel performance across the region. Hoteliers are urged to adopt revenue management strategies like demand-based pricing, hyper-personalization, and enhancing loyalty programs to stay competitive. While hotel performance is on the rise, construction costs may constrain the supply in the future. However, conversion or rebranding of existing properties will continue to offer opportunities for growth in the sector.

Key contacts provided in the report include Steve Carroll, CBRE Head of Hotels & Hospitality Capital Markets Asia Pacific, Michael Simpson, CBRE Hotels Managing Director, Wayne Bunz, National Director – CBRE Hotels, and Tom Gibson, CBRE Hotels Capital Markets. These professionals offer valuable insights into the trends and opportunities in the hospitality sector across Asia Pacific.

In conclusion, the CBRE’s Asia Pacific Hotels & Hospitality Performance & Outlook report provides a comprehensive overview of the key trends driving the hotel industry in the region. With tourism on the rise, robust investment activities, and improving hotel performance, Asia Pacific is poised to become a significant player in the global hospitality market in the years to come. Hoteliers and investors in the region can leverage the insights from this report to make informed decisions and capitalize on the growth opportunities in the sector.