Average hotel room rates edged up 2.2% to $260

Occupancy rate ironically dipped to 86%.

According to Ministry of Trade and Industry's Economic Survey of Singapore 2012, in the fourth quarter, the average room rate of gazetted hotels reached $260, which was 2.2 per cent higher than the average room rate a year ago.

By contrast, the average occupancy rate declined by 1.0 percentage-point to 86 per cent, compared to the same period in 2011.

Overall, hotel room revenue grew by 1.9 per cent to reach $696 million.

The accommodation segment ended 2012 with $2.8 billion in total room revenue for gazetted hotels, an increase of 5.9 per cent over 2011’s level.

This came on the back of a 5.7 per cent increase in average room rate to $261, even as the average occupancy rate remained unchanged at 86 per cent.