Australia’s hotel quarantine program is generating up to a fifth of room revenue for some participating operators and owners, providing a lifeline for capital city hotel markets that are lagging the broader recovery due to a lack of corporate travel and events.

“Analysis of those properties accommodating returning travellers, both in Australia and New Zealand shows that the quantity of quarantine demand represents 10-20 per cent of total demand per month,” said Matthew Burke, regional Pacific manager at analysts STR.