Hotels in Johor Bahru are set to benefit from the influx of tourists during the Formula One (F1) Singapore Grand Prix 2024, scheduled from 20 to 22 September. Ivan Teo, chairman of the Malaysian Association of Hotels (MAH) Johor chapter, told Malay Mail that many of its members expect a surge in occupancy rates over the weekend. Typically, hotels see an influx of Singaporean visitors over normal weekends, but the race is expected to draw crowds from around the world. “There is a high expectation that bookings for Johor Bahru hotels during that time will be sold out,” Teo said.
Background
The Singapore Grand Prix is a major event that attracts international visitors, leading to increased demand for accommodation. With hotel prices in Singapore already seeing a significant increase since the beginning of September—some rooms priced at more than three times the usual rate—many tourists are looking for alternatives. Johor Bahru, due to its proximity to Singapore, is expected to experience a spillover effect, benefiting from the overflow of visitors.
Surge in hotel occupancy
Teo mentioned that establishments in the Johor Bahru city centre, such as Holiday Inn, Opero Southkey, St Giles Southkey, DoubleTree by Hilton, and Amari, will likely experience over 90 per cent occupancy rates. Hotels beyond the city centre are expected to have around 80 per cent occupancy rates. “The race is a significant event, and we are preparing for a busy weekend,” Teo added.
Price comparison
While hotel room rates in Singapore have skyrocketed, Teo assured that Johor Bahru’s hotel prices would not reach the same highs. For instance, suites in Singapore can go up to over RM18,000 per night during the race weekend. In contrast, Johor Bahru offers more affordable options, making it an attractive alternative for visitors.
Historical data
Over the last five years, room rates for the race night in Singapore have grown from $2,122 in 2019 to $3,169 in 2024, an almost 50% increase. This year, occupancy in Singapore climbed to 97.8%, marking its second-highest result since 2010. These figures highlight the growing popularity and economic impact of the F1 Singapore Grand Prix.
Future implications
The expected surge in hotel bookings in Johor Bahru could set a precedent for future events. If the trend continues, it may encourage more tourists to consider staying in Johor Bahru during major events in Singapore. This could lead to further development and investment in the hospitality sector in Johor Bahru, enhancing its appeal as a tourist destination.
