With the Formula One (F1) Singapore Grand Prix around the corner and a robust line-up of MICE events until the end of 2022, they believe that 2H2022 will turn out to be a “spectacular” half for the hospitality industry.
DBS Group Research analysts Geraldine Wong and Derek Tan are recommending investors accumulate units in hospitality S-REITs ahead of a projected share price re-rating as travel demand returns strongly.
According to the analysts, room rates have leaped past pre-Covid levels, fueled by the strong meetings, incentives, conventions and exhibitions (MICE) line-up in 2H2022, while the average length of stay has almost doubled from 2019 levels.
