Back-to-back upsides keep Far East Hospitality Trust’s hotel occupancy steady

Its hotel occupancy rate stood its ground at 87.4%.

Singapore’s hospitality sector has been pummelled by multiple headwinds recently, but this hasn’t kept the hotel firm to register steady passable occupancy rates due to an uptick in tourist arrivals and competitive room rents.

According to a analysts from CIMB, Chinese visitors in Singapore grew by 3.1%, helping offset lower than usual visitors from Indonesia, Australia and Japan, countries afflicted by weak currencies.

Meanwhile, softer macro conditions, a strong SGD and the haze led to a 5% slip in FEHT’s NPI for 3Q.

“On a qoq basis, a seasonal uptick in tourist arrivals vs. 2Q and lower ADRs arrested the quarterly declines, and NPI grew 3% qoq,” CIMB said.