Expensive hotels in Sydney Australia
Sydney's luxury hotels were almost fully booked in the first two months of the year as Australia's gateway city benefited from a surge in corporate visitors and holidaymakers.
JLL Hotels & Hospitality recorded the five-star occupancy rate over January and February at 95 per cent and 90 per cent across the broader Sydney hotel market.
"We have seen strong sustained demand increases for accommodation in Sydney over the last few years and this has had considerable impact on not only the rates achieved by hotels but also whether those travelling for business or leisure can even get a room" said Craig Collins, Australasia CEO of JLL Hotels & Hospitality Group.
Mr Collins added that Sydney's occupancy rates were now among the highest in the world and ahead of global visitor destinations like New York, London, Paris & Hong Kong through the year to date.
Figures compiled by hotel research firm STR put the average daily room rate in Sydney at $255, well ahead of the next most expensive market, Melbourne ($189) but still considerably cheaper than roughly $400 you would have to fork out for a night in a decent hotel in Manhattan.
Hotel occupancy rates have risen on the back of the tourism boom with passenger numbers through Sydney airport up almost six per cent last year to 41.9 million.
Another feather in Sydney's cap has been the opening of the $1.5 billion International Convention Centre at Darling Harbour in December last year, which has helped attract bigger conferences and events.
The improving hotel returns have driven a surge of international capital into the Sydney hotel market in recent years with iconic hotels like the Hilton Hotel selling to Asian investor, Bright Ruby, for $442 million and the Westin Sydney acquired by a Singapore and Hong Kong joint venture for $445 million.