COLLIERS QUARTERLY HOTEL | JAKARTA | RESEARCH | Q4 2018 | 9 JANUARY 2019

Nurul Yonasari
Senior Research Executive | Research |
Jakarta
+(62 21) 3043 6728
Nurul.Yonasari@colliers.com
JAKARTA HOTEL MARKET

2018–21
Summary & Q4 2018 Full Year 2019 Annual Average
Recommendations
> We still hope hotel occupancy will increase
Generally, the second semester due to the political events prior to April
of 2018 was highlighted by higher 2019. Any other activities and market trends
Demand will remain the same as in the past.
occupancy. ADR performed well
only in the months when the
Asian Games was held in Jakarta. > We are expecting to see 3,213 rooms (from
17 new hotels) in 2019. Jakarta anticipates
In anticipation of slower business
874 rooms in 2020-2021, bringing the total
activities particularly in the Q2 1,010 rooms 3,213 rooms 1,369 rooms
Supply supply to 45,260
2019 (after the general elections
in April, the fasting month of May Annual Average
and Idul Fitr in June), hoteliers QOQ / YOY / Growth 2018–21 /
should focus on maintaining End Q4 End 2019 End 2021
corporate accounts. Meanwhile,
promoting more MICE activities > We still believe hotel occupancy will not
would complement room change much and remain steady between
revenues. 62% and 63% 62% 62.5% 63%
Occupancy
Hoteliers may benefit from
making good use of available > In line with a relatively steady occupancy, a
technology. Online booking similar trend in hotel room tariff will be
through the corporate website observed from 2019 to 2021. We set a
will help promote customer moderate projection for ADR to stay USD73 USD73 USD74
Room Rate between USD73 and USD74.
loyalty, as the internet could
Source: Colliers International
much effectively soft sell, grasp
communities and promote the
hotel.
COLLIERS QUARTERLY HOTEL | JAKARTA | RESEARCH | Q4 2018 | 9 JANUARY 2019

Supply Hotel Project Cumulative Supply

In 2018, eight new hotels were added to Jakarta’s hotel inventory,
120
contributing a total of 1,458 rooms from 3-star, 4-star and 5-star hotels. The
total number of hotel rooms in Jakarta is now 41,173, comprising 11,855 3- 100
star rooms, 16,248 4-star rooms and 13,070 5-star rooms.
80
To date, hotels are mostly located in Central Jakarta, which is the main
business area, and the CBD, which is the main commercial area. As Jakarta is 60
still hoping to resolve its traffic congestion problem by putting up MRT, LRT
40
and other transportation infrastructure, any new developments will still
consider the capital as the main business location. Several hotels that benefit 20
from MICE are found in the catchment areas of two main convention centres
in Jakarta (JIExpo and JCC Senayan). Hotels within these locations are 0

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019E

2020E

2021E
generally enjoying high occupancy rates.

Hotel Room Cumulative Supply

3-star 4-star 5-star
18,000
Source: Colliers International
16,000
14,000
12,000 Performance
10,000 The first two months of Q4 2018 were the last period when occupancy was
8,000 beyond the average compared to the past few years. Private corporations
6,000 and government institutions intensively organized meetings or other events
4,000 to spend their yearly budget.
2,000 Approaching the year-end, occupancy performance in November slowed
0 down and would likely be kept that way in early 2019. In summary, the
2010

2011

2012

2013

2014

2015

2016

2017

2018

2019E

2020E

2021E
overall occupancy performance looked good during the second semester of
2018, although the first half was below the average. The occupancy peak
that occurred in August was definitely fuelled by the Asian Games held in
3-star 4-star 5-star Jakarta.
Source: Colliers International
So far, we have not identified the push factor or any external measure that
could lift the overall hotel occupancy performance to grow progressively in
2019-2021.

2
COLLIERS QUARTERLY HOTEL | JAKARTA | RESEARCH | Q4 2018 | 9 JANUARY 2019

Monthly Average Occupancy Rate (AOR) Monthly Average Daily Rate (ADR)

100% USD120

USD100
80%
USD80
60%
USD60
40%
USD40

20% USD20

0% USD0
Jan Feb Mar Apr May Jun Jul Aug Sept Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sept Oct Nov Dec

2014 2015 2016 2017 2018 2014 2015 2016 2017 2018

Source: STR Source: STR

2018’s monthly ADR was averagely lower than in the past five years. Only in
August did hoteliers generally make the most in a month by increasing hotel
tariff, thanks to the Asian Games.
Efforts to lift occupancy rate were not in line with the ADR performance.
Hoteliers still need to be versatile in determining room rate, particularly in
this current situation where guests or corporate customers are generally
price-sensitive. The ADR is considered stable in a year, yet unfortunately it is
also constantly decreasing year to year.

3
COLLIERS QUARTERLY HOTEL | JAKARTA | RESEARCH | Q4 2018 | 9 JANUARY 2019

APPENDIX

Newly Operating Hotels During 2018

Hotel Name Starred Rate STR Chain Scale Rate Location Region #Rooms Opening Time

Erian Hotel 3-star Undefined Jl Wahid Hasyim Central Jakarta 71 18-Jun

Best Western Senayan 3-star Middlescale Class STC Senayan South Jakarta 137 18-Jul

Mercure PIK Avenue 4-star Upscale Class Pantai Indah Kapuk North Jakarta 240 18-Feb

PSW Antasari Hotel 4-star Undefined Jl. Pangeran Antasari No.75 South Jakarta 44 18-Dec
Holiday Inn Hotel & Suites Jakarta Gajah
4-star Upper Midscale Class Jl. Gajah Mada No. 211 Central Jakarta 442 18-Dec
Mada

Alila - SCBD lot 11 5-star Luxury Class SCBD CBD 227 18-Nov
Source: Colliers International

4
COLLIERS QUARTERLY HOTEL | JAKARTA | RESEARCH | Q4 2018 | 9 JANUARY 2019

New pipeline

Project Completion
Hotel Name Starred Rate STR Chain Scale Rate Location Region #Rooms
Status Time
Under
Ibis Styles TB Simatupang 3-star Upper Midscale Class TB Simatupang South Jakarta 142 2019
construction
Under
Dalton Jakarta Hotel 3-star Undefined Otto Iskandar Dinata East Jakarta 147 2019
construction
Under
Hotel by Graha Gatsu Lestari 3-star Undefined Jl Gatot Subroto South Jakarta 100 2019
construction
Under
Midtown Point - Ibis Styles 3-star Undefined Jl Fachrudin Central Jakarta 225 2019
construction
Under
Asana Taman Mini 3-star Undefined Taman Mini Indonesia Indah East Jakarta 160 2019
construction
Des Indes Boutique Hotel by Preference Under
3-star Undefined HOS Cokroaminoto Central Jakarta 97 2019
Tauzia construction
Under
Artama Hotel Kebon Kacang 3-star Undefined Jl Kebon Kacang Central Jakarta 100 2019
construction
Under
R1 Hotel 3-star Undefined Jl H Agus Salim Central Jakarta 135 2019
construction
Under
Citradream 3-star Upscale Class Pasar Senen Central Jakarta 200 2020
construction
Under
Citizen M 3-star Undefined Jl Prof. Dr. Satrio CBD 200 2022
planning

Under
Aston Titanium Cijantung 4-star Upscale Class Cijantung East Jakarta 225 2019
construction
Under
Front One Boutique Hotel Arjuna 4-star Undefined Jl Arjuna Raya West Jakarta 100 2019
construction
Swiss-Belhotel Kirana Avenue - Kelapa Under
4-star Upscale Class Kelapa Gading North Jakarta 316 2019
Gading construction
Under
Novotel Cikini 4-star Upscale Class Cikini Central Jakarta 274 2019
construction
Under
aloft Jakarta Simatupang 4-star Upscale Class TB Simatupang South Jakarta 180 2019
construction
Under
Batiqa Casablanca 4-star Undefined Jl Casablanca South Jakarta 156 2020
construction
continued

5
COLLIERS QUARTERLY HOTEL | JAKARTA | RESEARCH | Q4 2018 | 9 JANUARY 2019

Project Completion
Hotel Name Starred Rate STR Chain Scale Rate Location Region #Rooms
Status Time

continuation
InterContinental Jakarta Pondok Indah Under
5-star Luxury Class Pondok Indah South Jakarta 311 2019
Hotel & Residences construction
Under
St Regis 5-star Luxury Class HR Rasuna Said CBD 280 2019
construction
Under
Park Hyatt Hotel 5-star Luxury Class Kebon Sirih Central Jakarta 221 2019
construction
Under
The Langham District 8@Lot 28 SCBD 5-star Luxury Class SCBD CBD 200 2019
construction
Under
Waldorf Astoria 5-star Luxury Class Thamrin CBD 181 2019
construction
Under
Rosewood Jakarta 5-star Luxury Class Satrio CBD 200 2020
construction
Under
Regent 5-star Luxury Class Gatot Subroto CBD 126 2020
construction
Source: Colliers International

6
Primary Authors: For further information, please contact:
Nurul Yonasari Ferry Salanto
Senior Research Executive | Research | Indonesia Senior Associate Director| Research | Indonesia
+62 21 3043 6728 +62 21 3043 6730
nurul.yonasari@colliers.com Ferry.salanto@colliers.com

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