Country overview: Australia’s hotel market to grow by 181 properties [Infographic]

We take a look at the TOPHOTELPROJECTS construction database to find out which brands are driving the rapid growth of Australia’s hotel market.

According to our research, 181 new hotels will open in Australia over the coming years, bringing 35,254 additional rooms to the local market. Of course, Covid19 has thrown a spanner in the works for many developments worldwide and the hospitality sector is no different, yet we can clearly see there are still plenty of projects progressing steadily towards completion around the country.

Australia’s ambitious hotel pipeline

Before 2020 runs out, 51 new hotels with 8,248 rooms are slated to open across Australia. Another 48 projects with 9,548 rooms are on the books for 2021.

2022 will see 38 hotels launch, adding 7,448 rooms to the market, while 14 more hotels with 2,942 rooms are already confirmed for 2023. Finally, 30 properties with 7,068 rooms are on track for opening in 2024 and beyond, although this number is likely to increase further as more new projects are signed off in future.

Of the 181 planned hotels, 124 will be in the 4-star sector. The remaining 57 will become 5-star properties.

Urban locations driving Australia’s hotel market forwards

The data shows that Melbourne is Australia’s fastest-growing urban hotel market with 39 openings and 8,881 rooms scheduled. Sydney follows with 22 projects and 5,286 rooms, while Adelaide comes in third with ten hotels and 2,123 rooms.

Brisbane will see seven hotels open, adding 1,270 rooms to the city’s offering, and Hobart will get six new hotels with a total of 1,336 keys.

Not to be forgotten, Canberra and Perth follow with five launches each, and Southbank has four properties in its pipeline. Ringwood and Newcastle round out the top ten with three new properties each.

Australia’s five fastest-growing hotel brands

If we turn our attention to the question of which is Australia’s fastest-growing hotel brand by number of projects, a clear winner emerges. IHG’s Holiday Inn Hotels & Resorts is way out in front with nine projects (1,591 rooms) in total.

Hilton Hotels & Resorts, Hotel Indigo and Adina Apartment & Hotels will each open 5 new properties, meanwhile, with the former leading in terms of key count. Quest Serviced Apartments concludes the top five with four openings and 393 rooms.

Noteworthy hotel projects in Australia

There are plenty of striking hotel projects across Australia that are worth keeping close tabs on.

With 600 rooms, Hilton Melbourne Square is the largest scheme currently in Australia’s hotel pipeline, according to the TOPHOTELPROJECTS construction database. Set to open in Q1 2023, this newbuild property will be part of a mixed-use development spanning residential, commercial, speciality retail and a large park. The hotel will be close to the Melbourne Convention and Exhibition Centre and the Melbourne Arts Centre, making it ideal for both business and leisure guests.

Speaking of Victoria’s largest city, Shangri-La Hotel Melbourne CBD will open in the city’s bustling centre by mid-2022. The two-tower development will overlook Melbourne’s World Heritage Site-listed Carlton Gardens and offer guests a variety of luxury amenities such as a rooftop garden and pool, a spa, a gym and yoga space and several F&B venues.

Elsewhere, and forming part of Linzhu Australia’s 430 Pitt Street mixed-use development, the 301-room voco Sydney Central will boast a stunning seventeen-storey tower with a sloping roof covered in unique “green waterfalls” when it opens in Q2 2021. Guests will be treated to the ultimate upscale voco experience as they enjoy the hotel’s enviable location in the heart of Sydney CBD, just moments away from the iconic Capitol Theatre, with easy access to George Street light rail, Central Station and Sydney’s new convention centre.