RevPAR at hotels in Singapore declined in January 2017, as weak demand failed to keep pace with rising room supply.
According to STR’s preliminary monthly data for the Lion City, this supply-demand imbalance caused Singapore’s occupancy to decline 3.2% to 79.6% last month, while average daily rate (ADR) dipped 1.0% to SG$279.38 (approx. US$197).
As a result, revPAR declined 4.1% to SG$222.25 – the lowest January level in Singapore since 2011.
STR also noted that the city’s 3.5% increase in supply for 2016 was the highest for a full year since 2011. And this rate of growth accelerated to 3.9% in January 2017, ahead of a 0.6% increase in demand.