At high-end Hong Kong hotels, rates check in above pre-pandemic highs, outpace market

Hong Kong’s luxury hotels have outpaced the city’s broader hospitality market since last year, with their room rates exceeding 2018 levels as demand recovers, according to a report by global property consultancy Jones Lang LaSalle (JLL).Citing official tourism figures, JLL said high-end properties were the only segment that returned to 2018’s average daily rates (ADRs) in 2025, hitting HK$2,169 (US$277) – an increase of 1 per cent from what they were charging before 2019 and during the COVID-19 pandemic.In comparison, the city’s overall hotel market saw its ADR stand at HK$1,263, down 8 per cent from 2018, the figures showed.Meanwhile, official figures obtained by investment-management firm Colliers indicated that the strong performance of luxury hotels continued into the first quarter of this year, with the ADR rising by 12.3 per cent to HK$2,452, while the non-luxury segments saw increases of between 7 and 8.7 per cent from 12 months ago.“Hong Kong’s luxury segment was identified as a relative winner because its trading recovery in 2025 was stronger than that of the broader hotel market,” said Cleavon Tan, senior vice-president of JLL’s Hotels and Hospitality Group in Hong Kong. “Improving mainland Chinese, long-haul, corporate and event-related demand coincided with a highly constrained supply environment, allowing well-located luxury hotels to rebuild occupancy while retaining pricing power.”Luxury hotels may see slower physical-supply growth but potentially stronger pricing powerTan expected that the city’s hotel recovery and growth would be “segment- and asset-specific” over the long term.