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The pace of hotel performance gains across Australia's capital and regional markets

Hotel demand is growing outside of Australia's major cities
In Western Australia, Perth is one of the country's hotel markets that is growing international visits and overnight stays, but regional hotel markets outside of Australia's capital cities are also seeing some demand benefits. Pictured is the Elizabeth Quay Perth cityscape. (Getty Images)
In Western Australia, Perth is one of the country's hotel markets that is growing international visits and overnight stays, but regional hotel markets outside of Australia's capital cities are also seeing some demand benefits. Pictured is the Elizabeth Quay Perth cityscape. (Getty Images)
STR
April 7, 2026 | 12:42 P.M.

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Australia ended on a high note in 2025 with 7% revenue per available room (RevPAR) growth, a four percentage-point increase from 2024. Hotel supply growth has remained soft for the past two years, remaining below 1%, with the slowdown coinciding with occupancy spurts.

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News | The pace of hotel performance gains across Australia's capital and regional markets