Aug 11, 2026 – 6.11pmAustralia’s hotel sector has remained resilient despite the conflict in the Middle East and growing cost-of-living pressures, with average occupancy and room rates rising in the first half of the year.National hotel occupancy inched higher from 71.1 per cent in the six months to June 2025 to 71.7 per cent in the six months to June 2026. Average room rates increased from $239.55 to $248.41, or by 3.7 per cent, according to CoStar and Accommodation Australia research.Subscribe to gift this articleGift 5 articles to anyone you choose each month when you subscribe.Subscribe nowAlready a subscriber? Fetching latest articles
‘Tale of two quarters’: Hotel occupancy up despite global unrest
Sydney’s hotel market was the strongest performer year-on-year among the capital cities in the first half of 2026, followed by Hobart and Melbourne.











