With the combined effects of rising tourist numbers and weakening consumer spending, the tourism market’s overall contribution has been relatively limited

• In the first three quarters of 2025, Beijing welcomed 292.646 million domestic visitors, an increase of 5.1% year-over-year, and 3.884 million international visitors, up 42.9% year-over-year. Hotel demand at the upscale level grew by 0.5% year-over-year, while demand at luxury hotels rose by 1.1% year-over-year.
• As of December 2025, the ADR for upscale hotels in Beijing decreased by 3.5% year-over-year, while the ADR for luxury hotels declined by 2.9% year-over-year. Visitor spending levels have experienced a moderate decline.

In Q4 2025, two new upscale hotels opened in Beijing

• In Q4 2025, Beijing welcomed two new upscale hotels: Narada Fangshan and NOUS·LAND Beijing. The opening of these hotels has enriched the suburban hotel market in Beijing.
• Looking ahead, the Ritz-Carlton Beijing North is scheduled to open in 2026.

As of the end of December, Beijing’s upscale hotels remained below 2019 levels in RevPAR, while luxury hotels were able to exceed pre-pandemic levels

• As of YTD December 2025, Beijing’s upscale hotels saw a year-over-year decline in ADR, while occupancy remained at the same level as in the same period of 2024, resulting in a year-over-year decrease in RevPAR.
• Beijing’s luxury hotels saw a year-over-year decline in ADR, while occupancy rose slightly compared with the same period in 2024. RevPAR recorded a modest year-over-year decrease.

Outlook: More market drivers are supporting hotel performance recovery, facilitating further improvements in cash flow and operational efficiency

• The path for hotels to serve as underlying assets for REITs is becoming increasingly clear. To meet listing requirements, asset owners are expected to place greater emphasis on optimising asset management and operating cash flow.
• Although challenged by falling prices and a sluggish revenue recovery, Beijing’s hotel demand is likely to maintain its growth momentum, driven by a rise in both inbound and domestic travellers.