It’s been decades since a new hotel was built in the Bundaberg city area despite strong visitor demand and now Bundaberg Regional Council is taking the data to investors.
Investors from across the country, including major hotel chain representatives, attended, or dialled in to, an October market briefing to hear about the number of hotel rooms the region needs to meet the projected demand over the next decade.
The briefing was held following the commissioning of an AEC consultancy report for the development of a hotel investment prospectus which showcases the attributes and opportunities Bundaberg offers to prospective investors, developers and owners.
According to the AEC hotel investment report:
- Despite recording consistent growth in visitation, visitor spend and revenue per available room there has been no new, branded, 4-star and above hotels built in Bundaberg since 1994.
- The demand for hotel rooms in Bundaberg is expected to increase from 458 rooms in 2022 to 1,600 rooms by 2032.
- This is supported by a projected rise of visitor nights in hotel accommodation facilities from approximately 292,100 nights in 2022 to 802,000 nights by 2032.
Mayor Jack Dempsey said the conference was well attended and there had been a positive response to the information shared.
“We were certainly able to showcase the many opportunities available in the Bundaberg Region for a hotel investment,” Mayor Dempsey said.
“There was broad industry representation from resort brokers, valuers, agents, local developers and representatives from major hotel chains.”
He said Council’s Economic Development team had been working with AEC consultants to put forward the hotel investment prospectus in the hope that it would foster development activity.
“Our existing hotels and motels are frequently operating at capacity and what the research has shown is that if we had more hotels, we would have more people staying in the region and spending their money here.
“AEC identified latent demand for hotel accommodation with many holiday and business travellers forced to stay elsewhere after being unable to find available accommodation or accommodation that met their needs.
“The reputation of the Bundaberg Region is only growing as a desirable destination for tourism and as a host of major events, not the least of which being significant state and national sporting events.
“Our attractions and facilities are world-class so we need to ensure we have the capacity for visitors from around the world to stay and enjoy what the region has to offer.
“With strong demand drivers indicating visitor interest in our region is only growing, it’s a fantastic opportunity for hotel investors to be part of the region’s exciting future.”
As part of the hotel investment market briefing, Bundaberg Regional Council is investigating potential sites for future hotel development for industry consideration.
Anyone interested in learning more and discussing hotel investment opportunities in the Bundaberg Region can contact Council’s Economic Development team on 1300 883 699.