Hotel sector remains strong in H1 with $1.9b deal
The four-star segment dominated with $1.4b (US$1.11b) across eight deals.
Singapore’s hotel sector remained strong into 2024 and the first half of 2025, as deals totalled over $1.9b (US$1.5b) across 13 transactions, according to a Global Assets Solutions report.
The four-star segment dominated with $1.4b (US$1.11b) across eight deals, averaging about $179m (US$139m) per deal and $775,170 (US$601,000) per key.
The average price per transaction of four-star hotels was significantly higher than in the luxury segment, indicating that upscale properties with more rooms attracted the interest of investors.
Meanwhile, the luxury segment focused on boutique hotels, most of which have fewer than 80 rooms. Five-star rooms sold at the highest prices, averaging over $1.57m (US$1.22m) per room.
However, room inventory grew less than 2% in five years due to high construction costs and developers focusing on smaller, profitable projects instead of new large hotels.
($1=US$0.77)