Confidence in Australia’s accommodation industry has risen after ABS statistics for the June quarter of 2011 showed ‘pleasantly surprising’ results.

The Chief Executive Officer of the Accommodation Association of Australia, Richard Munro, said the industry can justifiably approach the end of this year and the beginning of 2012 with optimism.

“Occupancy has increased for the quarter to 65.3 per cent for hotels, motels and serviced apartments with 15 or more rooms is pleasantly surprising,” Mr Munro said.

Despite the value of the Australian dollar being so high, accommodation businesses in capital cities have been performing well. Hotel room rates have strengthened due mainly to strong corporate demand.

With average occupancy of 73.3 per cent, the ACT has been the stand‐out, largely due to attractions and events in Canberra, as well as high volumes of government and government‐related travel due to many Parliamentary sitting weeks during the quarter.

But Mr Munro said there is still plenty of room for growth.

“While motels are steadier through the course of the year, their occupancy is lagging behind hotels,”
Mr Munro said.

“Today’s figures are confirmation that operators in Tasmania and the Northern Territory are facing trading challenges.”