Nowadays hotels in Singapore have hot days as increased demand and the six-day Singapore Airshow have helped them to increase room rates to the highest level within last 4 years.
In February 2012 hotel rates reached a tremendous level of $218. This is the highest sum since September 2008 – at that time room rates estimated $241. At that time room rates were so high thanks to Grand Prix Formula One race and a pre-recession economy.
The average occupancy rate was also high – 89%. During the month the republic was attended by 1,133,666 tourists. This is 14.6 percent higher comparing to the same period of 2011. In whole Singapore was visited by 3,573,566 tourists during the first quarter of 2012.
Even though such a rapid growth in demand is the result of the Singapore Airshow, experts think in future hotels in Singapore will only get more popular. This will cause the growth of room rates, which may reach the level of US$270. This situation is possible unless the government releases more land for hotels building – today the majority of new hotels are small or boutique type ones.
According to reports, this year Singapore may be visited by 13.5-14.5 million of visitors. This is 10 percent higher comparing to 13.2 million mark for 2011. The target of the government is to attract 17 million by 2015. However, in 2011 the hotel market of the republic got only 5.1% more guestrooms. This causes the growth of rates, which are forecasted to keep increasing in the nearest future.