Pattaya is slowly crawling out of the ‘volatile hangover phase of the 2014 era’ and is showing huge growth in hotel sector and stability as one of Thailand’s largest tourism destination city.
Reports and data from the Thai Domestic Sector shows that the latest collected data is the huge 38% mark is the percentage for the guest/tourist hotel stay in just Chonburi province. According to a report from the Consulting C9 Hotelworks, it is said that the expanding gateway route which is the U-Tapao International Airport down in Sattahip is a ‘critical simulator of demand’ where over the past three years the CAGR (Compound Annual Growth Rate) has gone up to 79%.
Another key factor to Pattaya City’s growth is the Thai’s government investment on building a high-speed rail way from Bangkok to the U-Tapao International Airport connecting Suvarnabumi and Don Muang airport as well. Right now the city itself is having it’s own revamp and restoration to make it more appealing and clean as it’s goal is to rise to be the number one tourist destination in Thailand. With data recorded by the global data provider STR, they’ve found that by the end last year (2017) Pattaya hit a peak at a 8.7% growth in hotel and airlift metrics due to the new airline route to U-Tapao is growing dramatically– in 2018 it is expected to hit 77.9% in occupancy.
Bill Barnett, C9’s Managing Director spoke about the incoming supply saying that, “there is a substantial influx of branded select service and economy hotels including Holiday Inn Express, OZO, COSI and Citadines, which are targeted at not only mainland China and India but also regional Southeast Asian markets. The impact of this new supply in the short to medium period will take time to absorb and likely create rate issues in the economy and midscale tiers, until such time as the EEC (Eastern Economic Corridor) development becomes more pronounced,” further adding “At the same time, Chonburi province, last year, racked up more than 16 million hotel guest nights at accommodation establishments and there is little doubt that Greater Pattaya is moving into a broader tourism platform.”