Segments - Indonesia Hospitality Real Estate Market by Property Types (Resorts and Spas, Hotels and Accommodation, and Other property Types) and Country - Industry Analysis, Growth, Share, Size, Trends, and Forecast 2023 – 2031
The Indonesia hospitality real estate market size was USD 1.46 Billion in 2022 and is likely to reach USD 4.07 Billion by 2031, expanding at a CAGR of 12.07% during 2023–2031. The growth of the market is attributed to the favorable government regulations for both local and foreigner investors.
The hospitality industry includes different sectors such as lodging, food and drink service, theme parks, event planning, and travel and tourism, hotels, tourism agencies, restaurants and bars. The hospitality real estate sector possesses, secures, and oversees lodgings, inns, extravagance resorts, and business-class inns, and leases out space in the properties to visitors. They additionally provide and serve dinners, cocktails, and different services.
Rapid increase in tourism owing to relaxation in restrictions amidst the COVID-19 pandemic is expected to drive the market growth in the country.
Rising trend of experiential travel is estimated to spur the market growth during the forecast period.
The surge in foreign working population in Indonesia is anticipated to stimulate the market expansion.
Increasing number of online portals to buy the properties is expected to proliferate the growth of the market during the forecast period.
Growing financial literacy among the population is driving the market growth in the projected timeline.
Rising per capita is expected to positively influence the market growth in the coming years.
Favorable bank loan interest rates are estimated to spur the growth of the market.
Political uncertainty and hesitation from the investors owing to unsure returns and initiation of the projects can inhibit the market growth in the projected timeline.
Increasing collaboration between government and private organizations can create lucrative opportunities for market players during the forecast period.
The report on the Indonesia hospitality real estate market includes an assessment of the market, trends, segments, and regional markets. Overview and dynamics have also been included in the report.
Attributes |
Details |
Report Title |
Indonesia Hospitality real estate market - Industry Analysis, Growth, Share, Size, Trends, and Forecast |
Base Year |
2022 |
Historic Data |
2016–2021 |
Forecast Period |
2023–2031 |
Segmentation |
Property type (Resorts and Spas, Hotels and Accommodations, and Other property Types) |
Geographical Zone |
Indonesia |
Report Coverage |
Company Share, Market Analysis and Size, Competitive Landscape, Growth Factors, and Trends, and Revenue Forecast |
Key Players Covered in the Report |
Ciputra Group; PT Duta Anggada Reality Tbk; Sinar Mas Land; PT Lippo Karawaci Tbk; and PT Agung Podomoro Land Tbk |
Based on property types, the hospitality real estate market is divided into resorts and spas, hotels and accommodations, and other property types The hotels and accommodations segment is expected to grow at a rapid pace during the forecast period due to establishment of five-star hotels for leisure travel. The relaxation on the imposition imposed by government state bodies is anticipated to proliferate the growth of the market segment.
Indonesia keeps on attracting voyagers from around the world. Simultaneously, the travel among the citizens have grown exponentially in recent years. Increasing trading between ASEAN and foreign countries and progressively reasonable airfares are rising the tourism in the country. The growth of the Indonesia's tourism industry is attributed to the presence of government support to develop staycations and hotels.
The hotels and accommodations segment is expected to see a robust growth owing to increasing support for middle class by low interest rate regimes and robust economic growth. In the Indonesia accommodations market, tourist preference for Jabodebek, as a tourist destination, has attracted investment from the homegrown financial investors. The city is predominantly overwhelmed by the luxury apartments, which charms the elite population of the country. Increasing online property portals has become a tool for selling, buying or leasing commercial, residential, and retail properties. Large segment of buyers in this market are in the age group of 40 years or younger, who prefer to buy their own property. Economic decisions play a major role in the hospitality market, as these deals involve a heap of cash flow, which is usually funded by external sources.
The Indonesia hospitality real estate market has been segmented on the basis of
Indonesia
Key players competing in the Hospitality real estate market are Ciputra Group, PT Duta Anggada Reality Tbk, Sinar Mas Land, PT Lippo Karawaci Tbk, and PT Agung Podomoro Land Tbk.
Some of these players are adopting several business strategies, which includes acquisitions, mergers, collaborations, and partnerships to enhance their market share.