Ho Chi Minh City to see 269 new hotel rooms in H2 2025

These rooms will primarily be located in the city centre.

In a report, JLL noted that Ho Chi Minh City targeted 8.5 million foreign and 45 million domestic travellers in 2025, with H1 2025 achieving 45.4% and 40.7% of these goals, respectively.

“In H2 2025, 269 new hotel keys will open, primarily in the city centre. The market anticipates rising occupancy rates with modest ADR increases due to limited new supply over the next 12 months,” the report said.

Here’s more from JLL:

Following the merger in July, HCMC integrated the tourism industries of Binh Duong and Ba Ria-Vung Tau, creating opportunities for breakthrough development with a new tourism revenue target of USD 2.775 billion—expected to increase 30% compared to the combined pre-merger figures.

Supply remains flat since 2024 and is concentrated within the city center

HCMC comprises over 25,000 keys across 261 hotel projects in the Midscale and above segments. Internationally branded properties represented approximately 32% of total rooms, spanning 102 projects. In Q2 2025, accumulated supply remained unchanged since December 2024.

The city centre (formerly District 1) area dominates supply with more than 61% of inventory. All Luxury and Upscale properties are concentrated in this area, accounting for 42% of HCMC’s total supply in those segments.

RevPAR performance and investment sentiment increase

ADR performance growth remained strong y-o-y, aligning with tourist arrivals, while decreasing q-o-q due to seasonal factors. Occupancy consistently improved, coupled with ADR increases, leading to rising RevPAR y-o-y.

Despite hotel deal activity remaining constrained due to intricate ownership structures, legislative hurdles and protracted bargaining procedures, the city continues to draw significant attention given its undersupply situation and potential for expanding supply clusters outside the city centre.