South Africa’s hotel industry posted solid gains in May 2025, signalling continued recovery and rising demand across the country. According to the latest STR data, national occupancy rose to 59.5%, a 6.9% year-on-year increase. Average daily rate (ADR) climbed 8.5% to ZAR 1,747.04, driving a 16.0% increase in revenue per available room (RevPAR), which reached ZAR 1,039.81. Hotels also reported a 16.0% rise in total room revenue. Year-to-date performance showed further stability, with occupancy up by 1.7% and ADR by 9.8%.
Four-star hotels led in performance, with national RevPAR up 22.2%, propelled by strong demand from both leisure and business travellers. Regionally, Cape Town and Gauteng remained key drivers of hotel growth. Cape Town’s RevPAR increased 15.6%, while Gauteng reported a 16.0% rise, supported by solid business travel. Secondary regions such as the Free State and Limpopo also showed sharp RevPAR gains of 37.0% and 23.6%, respectively. These figures highlight growing momentum in South Africa’s tourism recovery, with both flagship and emerging destinations contributing to broader sector resilience.
