Darwin hotel occupancy rates collapse despite coronavirus restrictions easing

ACCOMMODATION rates across the Northern Territory have plummeted with low numbers during the first full week of coronavirus restrictions easing, indicating there is no saving grace on the horizon.

Occupancy rates at Darwin hotels during the first full week of coronavirus restrictions easing have dropped 64 per cent. Picture: Michael Franchi

ACCOMMODATION rates across the Northern Territory have plummeted with low numbers during the first full week of coronavirus restrictions easing, indicating there is no saving grace on the horizon.

Occupancy on the first Saturday night of trading saw accommodation rates down 64 per cent in Darwin.

Bills continue to roll in for owners with the Territory’s closed borders reducing the demand for overnight accommodation.

Hospitality NT chief executive Alex Bruce said it was up to locals to fill in the gaping accommodation hole left by the lack of domestic and international tourists to ensure there would be a tourism industry remaining when borders did reopen.

“With continuing confirmation that the borders will remain closed for the foreseeable future we need to support these businesses if we want them to be here when the tourism switch is flicked back on,” he said.

“Territorians who can, should consider having a staycation at one of these great venues – the rates are very competitive, and make a night or two of it.”

MORE TOP STORIES

Time to spend up big in our own backyard: Tourism NT

Darwin bar Lola’s Pergola fined almost $5500 for breaching coronavirus restrictions

Deckchair Cinema confirms reopening date as tickets go back on sale

A number of hotels saw even lower rates than the 64 per cent with some “completely mothballed”.

The industry has also seen their RevPar (rooms revenue per rooms available) dropping 72 per cent.

Many accommodation businesses aren’t eligible for assistance due to their high annual turnover and have had to pay 100 per cent of their power and water bills while many of their rooms remain vacant.

Chief Minister Michael Gunner said accommodation businesses could apply for cash grants through the Small Business Survival Fund to help pay their bills.

“We had the tourism and hospitality sector in the room to help us design the measures to help our accommodation industry,” he said.

“That’s exactly why we are helping them pay their bills with cash payments through the Small Business Survival Fund, giving payroll tax relief and slashing power and water bills. And the Feds are helping with JobKeeper.”

Get a pair of Sennheiser wireless earbuds worth $499 with this 12-month NT News subscription

Mr Bruce said the government needed to come up with a solution.

“We also think the Territory Government needs to find a better solution, particularly with regards utilities, to ensure these businesses survive,” he said.