Hong Kong hoteliers cautious about openings even as third coronavirus wave eases and staycations rise during ‘golden week’

Hong Kong’s third coronavirus wave might have eased and local demand might have risen during the recent public holiday, but the city’s hotel operators are not taking any chances and remain cautious in what is still a challenging market.

Some have opened their properties after delays, while others have postponed launches and will follow developments around the pandemic before deciding on welcoming guests.

Urbanwood Ap Lei Chau, which has 50 rooms, opened last month after a delay. “We originally planned to launch our new hotel in the second quarter … however, owing to the serious impact of Covid-19 globally and in Hong Kong, we rescheduled our opening to September,” a spokeswoman said. The hotel, which is welcoming guests now, is owned by real estate company CTL Group.

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Covid-19 pandemic forces Hong Kong hotels to rethink hospitality business models

Covid-19 pandemic forces Hong Kong hotels to rethink hospitality business models

The average occupancy at hotels in Hong Kong has, in fact, risen, climbing to about 60 per cent during the four-day “golden week” public holiday at the start of this month from about 20 per cent on regular weekends during the pandemic. Hongkongers are trying out hotels in their city “for a sense of travel”, said Michael Li, executive director at The Federation of Hong Kong Hotel Owners.

CTL was optimistic amid a gradual increase in local demand. “In the short term, we will continue targeting the local staycation and long-stay segments, while awaiting the eventual [return] of foreign travellers,” the spokeswoman said.

The nine-room Tai O Heritage Hotel, which is operated by Hong Kong Heritage Conservation Foundation, enjoyed a full house over the long weekend. Meanwhile, property developer Sino Group, which also has hotels, said it saw staycations being a trend in the foreseeable future.