Designer hotels queue up in Brisbane market
Brisbane’s hotel market is set to be transformed in the coming months, with a host of new luxury offerings set to open.
CBRE Hotels research says 80% of the city’s new hotels in the next 12 months will be luxury stays, with the five-star, 312-room W Hotel and the 238-room, four-star Novotel South Brisbane kicking things off with openings in the coming weeks.
And another five hotels will open in the next six months: the five-star Emporium Southpoint, the 4.5-star Adina George Street, the five-star Westin Brisbane, the five-star Calile Hotel James Street, and the five-star Art Series Howard Smith Wharves.
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CBRE’s Wayne Bunz says hotel operators are seeking to cater to hotel patrons who are demanding more from their accommodation on short stays.
“Gone are the days of the cookie cutter approach to hotels, with these new properties catering to travelers seeking local experiences and eye-catching designs,” Bunz says.
Bunz says with investors looking outside the most competitive Australian markets in Melbourne and Sydney as they chase better returns, Brisbane is coming into its own.
“Brisbane is no longer going to be the poor cousin to Sydney and Melbourne,” he says.
“While Sydney and Melbourne are still the most sought after investment locations, limited availability is leading investors to widen their scope and consider other locations,” Bunz says.
“Astute investors are looking for value in recovering hotel markets such as Perth and Brisbane, where new supply has dampened investor appetite. History shows that strong capital gains can be made in these markets for investors who did not simply follow the herd.”