Duniabooking repost from balipost.com — Based on the Bank Indonesia KPw Bali survey, hotel supply in Bali in the second quarter of 2019 increased 3.44 percent (qtq) or 6.54 percent (yoy). This additional supply was contributed by the construction of hotels in the Sanur and Seminyak areas.
BI Head of KPw Bali Causa Iman Karana saying that the supply of hotel rooms was dominated by 4-star hotels (44.71 percent), 5-star hotels (38.78 percent), and 3 stars (16.52 percent). From the demand side, the occupancy rate in the second quarter of 2019 was 65.44 percent, lower than the same period the previous year (76.55 percent) and the previous quarter (65.44 percent).
The survey results indicate that there are indications of a decline due to the decline in the number of Chinese tourists and the retention of post-election MICE activities. However, as such, the control that has been carried out by the regional government of Bali is expected to accelerate the performance of the hotel.
In terms of prices, in the second quarter of 2019, the price fell -0.93 percent (qtq) or -3.85 percent (yoy). This decline in prices occurred in line with the decline in demand in the second quarter of 2019 which mainly occurred in 5-star hotels.
According to him, in addition to conducting surveys on the development of hospitality in Bali, BI also surveying of the supply of apartments (both strata title apartments and rental apartments) in the Denpasar City area and Badung Regency. As a result, apartments in Bali have not changed since the 2017 period.
In the second quarter of 2019, strata title apartments were recorded at 2,423 units, originating from three development towers with a middle-class market segment. While rental apartments were recorded 141 units located in Badung Regency.
On the demand side, there was an increase in the absorption of apartments on a quarterly basis sourced from rental apartments. The average occupancy rate in the second quarter of 2019 is 50.32 percent, leaving 70 units that have not been rented out. There was an increase in the occupancy rate of 3.44 percent compared to the previous quarter. “The service apartment market is an alternative if the surrounding hotels are full or the hotel prices are too expensive,” he said.
Meanwhile, the cumulative demand for strata title apartments was stagnant with the cumulative demand for strata title apartments in the Denpasar City area and Badung Regency in the second quarter 2019 as many as 1,782 units, with an average sales rate of 73.52 percent. "There has been no change in the level of sales since the past year because there are no absorption units in existing projects," he said. (Citta Maya / balipost)