PENANG HOSPITALITY SECTOR OVERVIEW
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1 PENANG HOSPITALITY SECTOR OVERVIEW
2 PENANG EXISTING HOTEL SUPPLY Q P Summary Of Existing Supply Of Hotel Rooms By Star Rating in Penang Number Of Hotels By Location in Penang Source: NAPIC Leisure Property Stock Table Q P
3 PENANG EXISTING HOTEL SUPPLY Q P (Con t) Total Number Of Hotels By Number Of Rooms In Penang Source: NAPIC Leisure Property Stock Table Q P
4 PENANG FUTURE HOTEL SUPPLY Note: The above list is non-exhaustive Source: Zerin Properties Research
5 PENANG TOURISM & HOSPITALITY OVERVIEW & STATS BOOMING TOURISM INDUSTRY TOURISM in Penang recorded substantial growth in 2017, with hotels, the airport, hospitals, and the cruise terminal each seeing a rise in business. Penang Airport Arrivals & Upgrading Passenger arrivals at the Penang International Airport hit 6.7 million in 2016, exceeding the airport s maximum capacity of 6.5 million. The arrivals expected to reach 7.1 million in THE capacity of Penang International Airport (PIA) will be expanded by almost 100% from 6.5 million passengers to 12 million More international flights coming to Penang Direct flights between Doha and Penang by Qatar Airways, the top airline in the world. Forecasted more arrivals from non-traditional European countries such as Austria, Scandinavia as well as the Gulf Cooperation Countries (GCC) and other Middle-Eastern countries. Cruise Terminal 2018 is expected to be a boon for Penang tourism with international cruise ships expected to bring in 1.8 million passengers. Swettenham Pier Cruise Terminal received 1.35 million passengers from Jan to Mid- December last year. MICE Tourism Penang is establishing itself as a business events or MICE destination Penang Convention and Exhibition Bureau (PCEB) has signed a strategic partnership agreement (SPA) with national carrier Malaysia Airlines to promote the state as a preferred MICE destination. Penang has recorded an estimated RM900 million economic impact from the MICE industry in just the first nine months of 2017.
6 PENANG TOURISM & HOSPITALITY OVERVIEW & STATS BOOMING TOURISM INDUSTRY (Con t) Medical Tourism Penang continues to be popular destination for medical tourism with Indonesians being the biggest contributors. During 1H 2017, Penang received RM259.3 million in revenue (1H 2016: RM131.7 million) and 187,376 foreign patients (1H 2016: 175,216). Hospitality Hotels recorded higher occupancy rates in Even hotels on the mainland reported increased occupancy. Occupancy rate of hotels in Penang is expected to improve to about 68% last year for members of the Malaysian Association of Hotels (MAH, Penang Chapter), compared to 63% in 2016, driven largely by domestic tourism. The average room rate of hotels in Penang has increased to around RM290 per night in 2017, compared to RM264 per night in Beach hotels are priced around RM380 to RM680, while the city hotels are priced around RM250. Malaysia Budget Hotels Association (MyBHA) Penang chapter, on the other hand, is projecting occupancy for budget hotels in 2017 to be around 60%, a 5% growth than 55% recorded in MyBHA Penang Chapter has about 5,000 rooms. The average room rate of MyBHA members is between RM80 and RM105, which is a 5%-10% drop from 2016, due to competition from Airbnb and also from other serviced apartments and homestay segments.
7 PENANG TOURISM & HOSPITALITY OVERVIEW & STATS BOOMING TOURISM INDUSTRY (Con t) Hospitality (con t) The following tables show the overall average occupancy rates of Penang Hotels and occupancy rates of selected hotels in Penang. Penang Hotels: Average Occupancy Rate (%) Source: Malaysian Association of Hotels (Penang Chapter) Selected Penang Hotels: Average Occupancy Rate (%) Note: * 80% occupancy for financial year ended March 31, 2017
8 PENANG TOURISM & HOSPITALITY OVERVIEW & STATS BOOMING TOURISM INDUSTRY (Con t) Penang s Accolades & Recognitions Penang named as one of the 17 places to visit in 2017 by CNN, coming in second after Prince Edward Island, Canada. Time Magazine in 2017 lists Penang among most budget-friendly Asian destinations Iconic Hotel@Icon City Bukit Mertajam won the Malaysia s Luxury New Hotel and Malaysia s Luxury Design awards at the World Luxury Hotel Awards 2017 held in Switzerland George Town, Penang named as one of "The Ten Best Budget Travel Destinations for 2016" by Forbes George Town, Penang was selected by Los Angeles Times in 2016 as one of the 16 must-see destinations Lonely Planet, the world's largest travel guide book publisher, named Penang as THE top food destination of 2014 Penang's capital city, Georgetown placed third in US News' list of the best exotic places to retire in Top 10 best city to visit in the world (The Guardian 2014) Top 15 best street art in the world (The Guardian 2013) The 8th most livable cities inasia (ECA Intl. 2012) Top 8 islands in the world You must see before you die' (Yahoo! Travel, Feb 2011) Georgetown UNESCO World Heritage Site in 2008
9 PENANG TOURISM & HOSPITALITY OVERVIEW & STATS BOOMING TOURISM INDUSTRY (Con t) Penang s Accolades & Recognitions (con t)
10 Contact: For further enquiries please contact: Previndran Singhe Chief Executive Officer, Zerin Properties HP Level 1, Block B Damansara Office Complex Jalan Dungun Damansara Heights Kuala Lumpur Malaysia t : f :
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