Hotel room occupancy rate to drop 'marginally': analyst

But will stand pat above 80% mark.

According to Knight Frank, with some 5,020 hotel rooms to be completed in 2013, they expect the occupancy rates to decline marginally but still above the 80 per cent mark.

Average room rates may fall marginally to account for the lower occupancy levels. The stronger Sing dollar will make travelling to Singapore pricier for budget sensitive tourists.

"Overall, given Singapore’s enhanced offerings in the tourism industry, the outlook for the hospitality sector is still positive, albeit with the reduction in room rates and higher cost of operations arising from higher foreign labour levy," Knight Frank said.

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