Resilient economy and broadening business recovery driven by regional demand and high value MICE expansion

• Singapore recorded 4.4 million visitor arrivals through March 2026, up 9.8% quarter-on-quarter.
• As a premier business, leisure and MICE hub in Asia-Pacific, Singapore is set to maintain strong visitor inflows from key source markets including Australia, China and Indonesia, supporting positive medium-term tourism fundamentals and hotel sector performance.

Incoming room supply dominated by midscale products

• In Q1 2026, the key opening includes the 502-key Handwritten Collection Waterloo.
• Singapore’s hotel supply will expand by 2.9% in 2026, driven primarily by the midscale segment. Upcoming hotel supply will be concentrated in the midscale and upscale segments. Notable openings include the 334-key DoubleTree by Hilton Singapore Robertson Quay and the 808-key Movenpick Singapore (Hoe Chiang Road).

Pick-up in transaction activity suggests narrowing bid-ask spread

• The industry has demonstrated notable resilience despite significant headwinds. Operators have adopted more flexible revenue management strategies to address shorter booking windows and softening in price-sensitive segments. RevPAR has continued to show healthy growth across segments.
• Investment activity has also strengthened. Singapore’s hotel investment market recorded three transactions totalling SGD 188 million in Q1 2026, primarily in the midscale category, marking a 23% quarter-on-quarter increase in transaction volume.

Outlook: Strategic initiatives to drive high-value demand despite global headwinds

• Despite persistent global volatility, Singapore’s near-term business outlook remains optimistic, underpinned by a favourable financing environment and robust demand fundamentals.
• Singapore’s competitive advantage as a premier business and MICE destination, reinforced by Changi Airport’s strong connectivity, is set to drive growth in international arrivals and tourism receipts, supporting a positive outlook for hotel owners and investors.