Professional Documents
Culture Documents
Forecast Report
4Q 2013
Jakarta
1st
Quarter
| Office
2015
Accelerating success.
Hotel Sector
Star-Rated Hotel
By Ferry Salanto
Associate Director | Research
Ferry.Salanto@colliers.com
3-star
4-star
5-star
2015
2014
2013
2012
2011
2010
2009
2008
2007
2006
Colliers International
2005
3-star
4-star
2015
2014
2013
2012
2011
2010
2009
2008
2007
2006
2005
5-star
star
rated
str global
equivalent
rate
location
region
No. of
rooms
projected
completion
time
Midscale Class
Hayam Wuruk
Central Jakarta
265
Midscale Class
Gunung Sahari
Central Jakarta
200 2015
Midscale Class
Cilandak
South Jakarta
130
2015
Aston Neo
Midscale Class
TB Simatupang
South Jakarta
170
Q3 2015
Ibis Style
Midscale Class
North Jakarta
200 Q4 2015
Prima Hotel
Midscale Class
Wahid Hasyim
Central Jakarta
150
Q4 2015
Santika
Midscale Class
TB Simatupang
South Jakarta
151
Q2 2016
Santika
Midscale Class
Yos Sudarso
North Jakarta
150
Q2 2016
Ibis Style
Midscale Class
Bangka Raya
South Jakarta
200 Q3 2016
The Acacia
Midscale Class
Kramat Raya
Central Jakarta
150
Q3 2016
Hotel @Fachrudin
Midscale Class
Tanah Abang
Central Jakarta
225
Q4 2016
Citizen M Hotel
Midscale Class
Mega Kuningan
South Jakarta
200 Q4 2018
Upscale Class
Central Jakarta
200 2015
Novotel
Upscale Class
North Jakarta
220 Q4 2015
Upscale Class
North Jakarta
300 Q3 2016
Aloft
Upscale Class
Wahid Hasyim
Central Jakarta
170
Q4 2017
Upscale Class
Mega Kuningan
South Jakarta
112
2018
Sheraton
Luxury
Gandaria
South Jakarta
300 Q3 2015
InterContinental
Luxury
Pondok Indah
South Jakarta
300 Q4 2015
St Regis
Luxury
Gatot Subroto
South Jakarta
124
The Langham
Luxury
SCBD
South Jakarta
200 2017
Regent
Luxury
Gatot Subroto
South Jakarta
126
2018
Sofitel
Luxury
Mega Kuningan
South Jakarta
212
2018
2015
2016
Budget Hotel
For the last couple of year, budget hotel market has shown an
exponential supply growth since the last few years. As of 2015
there will be additional hotel rooms of 1,164. Since 2006, the
Amaris brand (Santika Group) has been the major budget hotel
operators with ten hotels under its management, Another active
budget hotel operators include Aston group with Fave and NEO,
Accor group with Ibis Budget brands and Tauzia Management
with POP! and the new brand called Yello. By end of 2015,
Tauzia Management will dominate hotel development especially
for budget hotel around Indonesia.
2015
2014
2013
2012
2011
2010
2009
2008
2007
2006
2005
str global
equivalent rate
location
region
No. of
rooms
projected
completion
time
Economy
Pasar Baru
Central Jakarta
112
2015
Economy
Wahid Hasyim
Central Jakarta
90
2015
180
2015
80
2015
90
2015
Whiz - Cipete
Economy
Cipete
South Jakarta
@HOM - Cawang
Economy
Cawang
East Jakarta
Economy
Gajah Mada
Central Jakarta
Economy
Hayam Wuruk
Central Jakarta
200 2015
Economy
Hayam Wuruk
Central Jakarta
372
2015
Amaris TB Simatupang
Economy
TB Simatupang
South Jakarta
151
2015
Tauzia
Intiland
Demand Driver
Later in late 2014, the Indonesian Hotel and Restaurant
Association (PHRI) urged government to postpone policy of
banning all government institutions from holding meetings
and conferences in hotels and convention centers. In response
to this, it is indicated that government would relax the ban to
help boost hotel occupancy rates which had decreased since
the implementation of this strict measure. The hotel association
expects that the ban relaxation would likely increase occupancy
rates in hotels located in remote areas by 10 to 20% where 40 and
50% of revenues are sourced from government-related events.
For some periods hotel guest has been largely composed by
domestic guests. Most of foreign guests choose to stay in 5-star
hotels, other than that they may go lower by staying in 4-star
hotels mainly for business trip. Meanwhile, the majority of
domestic guest prefers to stay in 3-star hotels. In the last four
years, the average length of stay of foreign guests in 5-star hotels
has been slightly higher than domestic guests.
100%
80%
16
60%
14
12
40%
10
20%
8
6
0%
4
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Domestic
2
0
Santika
Year to Date
Tauzia
Intiland
Foreign
2,500,000
80%
2,000,000
60%
1,500,000
40%
1,000,000
20%
500,000
0%
Feb 2014
Jakarta
2014
2013
2012
2011
2010
2009
2008
2007
2006
2005
Feb 2015
CBD
Outside CBD
Performance
The YoY hotel performance is not great particularly looking from
the occupancy rate performance. According to the STR Global
data point that Colliers refers to, the AOR (Average Occupancy
Rate) in February 2015 decreased quite significantly from 64.3%
to 53.7%. This occurred not only in the CBD area but also outside
the CBD area. There were some cases that probably affect such
situation. First is the Election Day where quite a few political
parties held congress and other political activity in hotel which
help lift the occupancy rate prior to the legislative election. This
explains that AOR in early 2014 was higher than in early 2015
Secondly is the issuance of new regulation, after the new line
of cabinet was inaugurated, by Ministry of Administrative and
Bureaucratic Reform that ban civil servants to hold meeting
in hotel. Apart from the abovementioned, the relatively low
occupancy rate will be further challenge by the continuing influx
of new hotel development in the future.
80%
60%
40%
20%
0%
Feb 2014
Luxury Class
Upscale Class
Feb 2015
Average Occupancy Rate of Hotels in the Outside Average Daily Rate of Hotels in CBD Jakarta
CBD Jakarta
USD 200.00
100%
USD 180.00
USD 160.00
USD 140.00
80%
USD 120.00
USD 100.00
60%
USD 80.00
40%
USD 40.00
USD 60.00
USD 20.00
USD 0.00
20%
Feb 2014
0%
Feb 2014
Feb 2015
Feb 2015
Outside CBD
Luxury Class
Upscale Class
Upscale Class
Source: STR Global
USD 80.00
USD 140.00
USD 60.00
USD 120.00
USD 40.00
USD 100.00
USD 80.00
USD 20.00
USD 60.00
USD 0.00
USD 40.00
USD 20.00
Feb 2015
Upscale Class
USD 0.00
Feb 2014
Jakarta
Feb 2015
CBD
Outside CBD
Feb 2014
502 offices in
67 countries on
6 continents
Primary Authors:
Ferry Salanto
Associate Director | Jakarta
62 21 521 1400 ext 134
Ferry.Salanto@colliers.com
$2.3
billion in
annual revenue
158
16,300
professionals
and staff
Accelerating success.