Bangkok sees seven new hotels in H1 2025

Nearly 2,000 keys were added to the market.

Bangkok’s hotel market experienced a shift in momentum in the first half of 2025. According to a Knight Frank report, average occupancy fell to 75.1%, down 3.7 percentage points from the same period last year. January and February performed relatively well, each exceeding 81%, but occupancy steadily declined in subsequent months, reaching 69.8% in June, the weakest monthly performance in over a year.

“This softening trend reflects the combined effects of rising room supply, shorter average lengths of stay, and a heavier concentration of short-haul regional demand with lower yield potential.”

Here’s more from Knight Frank:

The Average Daily Rate (ADR) rose 3.3% YTD to THB 4,260 in 1H 2025, up from THB 4,121 in 1H 2024. The highest ADRs were recorded in January, while the lowest were seen in May and June. Several mid-year months posted stagnant or negative year-on-year comparisons. The modest rate growth, combined with reduced occupancy, put downward pressure on RevPAR, particularly in Q2.

On the supply side, seven new hotels opened in 1H 2025, adding 1,906 keys. Notable entries included the Grande Centre Point Lumpini (512 keys) and Four Points by Sheraton (333 keys). Openings spanned all segments, from luxury properties such as Aman Nai Lert and Grande Centre Point, to midscale and upper-midscale brands like Queensland Hotel and The Quarter. An additional 12 properties totalling 3,283 keys are scheduled to open in 2H 2025, indicating continued pipeline growth and intensifying competitive pressure.

Several of the newly opened hotels are located in emerging or revitalized urban districts, contributing to the decentralization of Bangkok’s hotel footprint. Domestic brands such as The Quarter and Queensland continue to expand aggressively in the upper-midscale segment, while international chains including Radisson and Four Points are deepening their presence, signalling sustained confidence from global players.

The combination of moderating ADR growth and an expanding supply pipeline suggests Bangkok’s hotel market is entering a post-pandemic normalization phase, marked less by sharp recovery spikes and more by intensified competition, increased price sensitivity, and the need for strong product differentiation.

With more keys coming online and demand growth leaning toward volume rather than yield, operators will need to refine segmentation strategies, enhance digital distribution, and strengthen loyalty programs to protect profitability in the quarters ahead.