The Tasmanian View l June 2025

The Tasmanian

TASMANIAN TOURISM MARKET OVERVIEW

eldersrealestate.com.au

JUNE 2025

Welcome ABOUT THE AUTHOR. John commenced in real estate in Tasmania in 1983 and became a Partner and Managing Director of Realty House in 1985 which changed to a Richardson & Wrench Franchise in 1988. In 1993 he joined us as a specialist hotel, motel and business broker. During this time he has acted as a Tourism and Leisure Property Consultant to a number of financial institutions, Tasmanian Development and Resources, Accountants, Solicitors, THA and most of Tasmania’s leading hoteliers and moteliers. John has been selling hotels, motels and businesses for over 42 years having accumulated 970 such sales worth over $850 million as at June 2025. It is more than likely John has sold more real estate in Tasmania than any other agent. He has a certificate of Commercial and Industrial Practice, is an accredited Business Agent, a member of the Real Estate Institute of Tasmania and holds a Real Estate Agent’s license (as distinct from a salespersons license). For seven years now, John has been awarded the REIT’s Business Broker of the Year and has participated as a keynote speaker for the THA, Tasmanian Property Council and Tasmanian Property Institute.

Government overview

3

Tourism overview

4

Tasmanian tourism fast facts

6

Tasmanian key THA statistics

8

Tourism awards and accolades for 2024

10

International tourism overview

12

International visitors

14

What makes Tasmania outstanding

16

Tourism activities

17

Tasmanian visitation sources

20

Tasmania by region

22

The Hobart tourism market

24

Hobart tourism growth prospects

25

Proposed hotel developments

26

Southern Tasmanian key THA statistics

28

Greater Hobart room inventory

30

Hobart hotel room summary

31

The Launceston tourism market

32

Northern Tasmanian key THA statistics

34

Greater Launceston room inventory

36

The north west & west coast tourism market

38

North West Tasmanian key THA statistics

41

East coast tourism market

42

East coast tourism market

44

Your tourism team

47

JOHN BLACKLOW Hospitality & Tourism Sales 0418 128 735 john.blacklow@elders.com.au

THE TASMANIAN VIEW

Government overview “It’s no secret that Tasmania has been undergoing a quiet cultural revolution of late”. Against a background of natural beauty and rich history, a new-look Tasmania has emerged. While we may be Australia’s smallest state, Tasmania is also the most geographically diverse with more than 48 per cent reserved in national parks and World Heritage Areas. Tasmania is blessed with unspoilt locations, gourmet food and wine, an iconic heritage and a distinctly seasonal climate. Tasmania’s tourism industry has successfully leveraged the exceptional and natural advantages we offer as a result of our location, small population and history. Tasmania continues to be an attractive holiday destination, supporting the development of many award winning enterprises. The tourism industry has grown to become a significant sector within the Tasmanian economy. Unique from the rest of Australia, direct flights from Melbourne, Sydney, Adelaide or Perth, offer visitors an escape for the senses. Tasmania produces a variety of famous seafood, delicious artisan cheeses, mouth-watering berries, black truffles, premium beef and lamb, saffron, wasabi, honey, extra virgin olive oil and much more. Tasmania also boasts jaw dropping wilderness experiences (eco cruises, multi-day guided walks, scenic flights and more), five World Heritage listed convict sites, some of Australia’s best golf courses and award winning paddock-to-plate experiences, unique cultural attractions as well as a range of luxury and boutique accommodation. Tourism has grown to become a significant industry within the Tasmanian economy. Tourism in Tasmania directly and indirectly contributes around $2.27 billion to the Gross State Product. Tourism directly and indirectly supports around 50,800 filled jobs in Tasmania or 15.6% of the total filled jobs, the highest share in the country. Tasmania’s tourism industry is made up of around 2,000 separate businesses.

DEMOGRAPHICS AND HISTORY Tasmania (abbreviated as Tas and known colloquially as ‘Tassie’) is an island state of Australia. It is located 240km to the south of the Australian mainland, separated by Bass Strait. The state encompasses the main island of Tasmania and has a population of around 571,000 in 2025, just over 34% residing the Greater Hobart precinct, which forms the metropolitan area of the state capital and largest city, Hobart. Tasmania’s area is 68,401 sq km. Promoted as a natural state; protected areas of Tasmania cover about 53% of the land area of the state, which includes national parks and World Heritage Sites. Tasmania was the founding place of the first environmental party in the world. The island is believed to have been occupied by Aboriginals for 40,000 years before British colonisation. The island was permanently settled in 1803 as a penal settlement of the British Empire to prevent claims to the land by the First French Empire during the Napoleonic Wars; around 75,000 convicts were sent to Van Diemen’s Land before transportation ceased in 1853. The island was initially part of the Colony of New South Wales, but became a separate, self-governing colony under the name Van Diemen’s Land (named after Anthony van Diemen) in 1825. In 1854 the present Constitution of Tasmania was passed and the following year the state received permission to change its name to Tasmania. In 1901 it became a state through the process of the Federation of Australia. The state is named after Dutch explorer Abel Tasman, who made the first reported European sighting of the island on 24 November 1642. Tasman named the island ‘Anthony van Diemen’s Land’ after his sponsor Anthony van Diemen, the Governor of the Dutch East Indies. The name was later shortened to Van Diemen’s Land by the British. It was officially renamed Tasmania in honour of its first European discoverer on 1 January 1856.

Source: Fast Facts, Tourism Tasmania May 2025. www.cg.tas.gov.au

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Cradle Mountain, Northwest Tasmania

Tourism overview Tasmania – Gateway of Opportunities

successfully leveraged the exceptional and natural advantages we offer because of our location, small population and history. Developments such as the award winning golf courses in northern Tasmania, Barnbougle Dunes, Barnbougle Lost Farm and Cape Wickham Links on King Island, and luxury accommodation developments such as Saffire, Pumphouse Point and Macq01, are a clear indication that Tasmania is in the market to attract high-value visitors looking for distinctive experiences as well as a demonstration of the ability of luxury tourism to draw visitors to regional Australia.

Tasmania has a bold strategy to be a world-leading destination of choice and is fast rising to the top of everyone’s must-see list. Aspirational visitation targets are being achieved through increased investment in targeted marketing campaigns, growing air and sea access, investing in quality visitor infrastructure, developing diverse experiences and enhancing Tasmania’s brand. Tasmania is blessed with unspoilt locations, gourmet food and wine, an iconic heritage and a distinctly seasonal climate. Tasmania’s tourism industry has

THE TASMANIAN VIEW

OPPORTUNITIES EXIST FOR INVESTMENT IN:

• • •

built infrastructure such as accommodation

• • •

eco-tourism

heritage activities adventure tourism

gastronomic experiences recreational activities

Tasmania offers

UNIQUE EXPERIENCES - Tasmania offers travellers one of the most unique and pristine locations in the world. NATURAL ATTRACTIONS - Pristine wilderness, rugged mountain ranges, pure white sandy beaches, breathtaking scenery and unique flora and fauna are major draw cards for visitors. ICONIC ATTRACTIONS - Tasmania has strong international awareness of our iconic attractions including our Wilderness World Heritage Area, Cradle Mountain, Freycinet Peninsula, Bay of Fires and Port Arthur. HERITAGE ATTRACTIONS - Launceston and Hobart, in particular Battery Point and Salamanca, offer rich heritage experiences with walking trails and museums. Tasmania has five of Australia’s eleven World Heritage listed convict sites, providing an insight into early colonial life. There has also been sensitive re-purposing of historic buildings, such as Hobart’s former IXL jam factory, now the Henry Jones Art Hotel. ECO ADVENTURE - Our clean rivers, oceans, mountains, beaches and forests provide a wonderful opportunity to offer soft and hard core tourism adventures such as those offered by Bruny Island Cruises, The Maria Island Walk, Bay of Fires Walk, Franklin River Rafting, Derby Blue Pods Ride, and Three Capes Track. HOSPITALITY INDUSTRY - The hospitality industry is the third largest employer and Tasmania offers incredible gastronomic experiences, and food and wine trails. VIBRANT ARTS AND CULTURAL SCENE - Tasmania has an active and thriving arts scene with strong participation rates. We attract national and international festivals, exhibitions and events. Tasmania is home to many outstanding venues, including The Museum of Old and New Art – MONA – Australia’s largest private museum and art gallery. MONA has received international acclaim and is a major tourist attraction. According to a recent Australia Council report, more artists and people are involved in creative industries per capita in Hobart than anywhere else in Australia.

Source: Tasmanian Government, Department of State Growth July 2018

Bridestowe Lavendar Farm, Northern Tasmania

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Tasmanian tourism fast facts Updated April 2025

Tasmanian Visitor Survey, year to December 2024, Tourism Tasmania Total visitors to Tasmania

SPEND

VISITORS

12.55 m NIGHTS

$3.413 b

1.31 m

- 6.1%

+ 4.2%

+ 2.7%

Visitors spent a total 12.553 million nights in Tasmania, staying for an average of 9.58 nights

1,310,400 interstate and international people visited Tasmania on scheduled air and sea services. This does not include cruise ship visitors

Visitors spent a total $3.413 billion in Tasmania, with an average spend of $2,604 per person

Holiday | 686,400 | 52% VFR | 349,800 | 27% Business | 198,500 | 15% Conference | 23,600 | 2%

MAIN PURPOSE OF VISIT

MODE OF DEPARTURE

AIRLINE SEATS* 4.63 m Airline seats on six major air routes into Tasmania HBA/LST – MEL,SYD,BNE

89%

11% Sea^

Air

THE TASMANIAN VIEW

Tourism Satellite Accounts 2023-24, Tourism Research Australia Tourism’s contribution to the Tasmanian economy #

TOURISM GROSS STATE PRODUCT

$4.55 b TOTAL

$2.27 b $2.28 b

DIRECTLY 5.4% OF TAS GSP

INDIRECTLY 5.4% OF TAS GSP

Tourism contributes $4.55 billion - 10.8 percent share to Tasmania’s GSP. The direct and indreict contribution of tourism in Tasmania to GSP is the highest in the country.

TOURISM FILLED JOBS

50,800 TOTAL

$22,800

DIRECTLY 7.0% OF TAS FILLED JOBS

$2.28 b

INDIRECTLY 8.6% OF TAS FILLED JOBS

50,800 Tasmanian jobs - 15.6 percent share to Tasmania’s employment. The direct and indirect contribution of tourism employment is the highest in the country.

Find more data and insights on Tasmania’s visitor economy at www.tourismtasmania.com.au/research/visitors % change is from same period previous year. *BITRE Bureau of Industry, Transport and Regional Economics 2023-24 at December 2024. ^Sea is Spirit of Tasmania, excludes cruise ships. +ATDW Australian Tourism Data Warehouse, current as at 12 March 2025. Tourism Tasmania actively encourages tourism businesses to register with ATDW; changes in number reflect ATDW registrations and do not necessarily mean businesses are new or have closed. Contact atdw@tourism.tas.gov.au to register or update your listing. # The ABS has undertaken a comprehensive review of the modelling of the Tourism Satellite Accounts, resulting in changes to all economic variables, including contribution to GSP and filled jobs. The time series has been re-cast, meaning current results should not be compared to previously released results.

P7 Little Blue Lake, East Coast Tasmania

Tasmanian key THA statistics Year Ended April 2025

Comparative Annual Room Rates

YEAR

ROOM RATES

April 2025

$231.25

April 2024

$223.16

April 2023

$211.13

April 2022

$184.33

Comparative Annual Yield

YEAR

YIELD

April 2025

$170.50

April 2024

$165.71

April 2023

$160.49

April 2022

$120.33

Comparative Annual Occupancy

YEAR

OCCUPANCY LEVEL

April 2025

73.7%

April 2024

74.3%

April 2023

76.0%

April 2022

65.3%

THE TASMANIAN VIEW

For the 12 months ending April 2025, the average annual occupancy for our three regional areas and the state were as follows:

The THA provide monthly statistics for four areas of Tasmania, being South, North, North West and East.

NORTH WEST

59.5%

77.8% NORTH

EAST

64.7%

TASMANIA

73.7%

SOUTH 78.8%

April 2025 occupancy is down 12% from the record breaking March. THA chief executive Steve Old wrote on 30 th of May: “April’s figures tell two stories - one of continued year-on-year growth and another of seasonal vulnerability. Hospitality and tourism are cornerstones of Tasmania’s economy. We’ve proven people want to visit. Now we need to give them compelling reasons to keep doing so, even when the temperature drops. The redevelopment of the Hobart waterfront precinct will do just that, providing benefits reaching every corner of the state.”

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Tourism awards and accolades for 2024

At the 40th ‘Australian tourism awards’ held in Adelaide in March 2024, Tasmania took home 14 medals as follows:

Gold

Silver

Bronze

BUSINESS EVENT VENUES Peppers Silo Hotel

FESTIVALS & EVENTS Junction Arts Festival TOUR & TRANSPORT OPERATORS Air Adventure Golf

MAJOR TOUR & TRANSPORT OPERATORS Pennicott Wilderness Journeys TOURISM RESTAURANTS & CATERING SERVICES Grain of the Silos TOURISM WINERIES, DISTILLERIES & BREWERIES Bangor Vineyard Shed UNIQUE ACCOMMODATION The Cove Tasmania NEW TOURISM BUSINESS Red Rock Hut, King Island

4-4.5 STAR DELUXE ACCOMMODATION Peppers Silo Hotel

HOSTED ACCOMMODATION The Dragonfly Inn TOURISM RETAIL, HIRE & SERVICES Younique Stays

CARAVAN & HOLIDAY PARKS BIG4 St Helens Holiday Park

SELF-CONTAINED ACCOMMODATION Alice’s Cottages EXCELLENCE IN FOOD TOURISM The Truffle Farm

OTHER RECENT MAJOR AWARDS • Tasmania named in the New York Times “52 places to go in 2024” list • Huon Valley named in Condé Nast Traveller “The best places to go in Australia, New Zealand and the South Pacific in 2024” list • Hobart voted “Best City in Australia, New Zealand and the South Pacific” in Travel & Leisure World’s best awards in 2023 • Tourism Tasmania won a GOLD & SILVER award for it’s 2022 Off Season campaign at the Australian Effie awards

THE TASMANIAN VIEW

Peppers Silo Hotel, Launceston

Lillico Beach at The Cove

Air Adventure Golf, King Island

The Truffle Farm, Deloraine

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International tourism overview Tourism Tasmania is evolving its marketing program, while continuing to target visitors who will fall in love with what our state has to offer, invest in our regions, travel further and contribute to the social fabric of our regional communities.

The Tasmanian community is in the midst of a pivotal conversation around how it wishes to see our tourism industry evolve in the future. The decisions we make today, will shape the industry and visitor economy of tomorrow. Tourism Tasmania has a strong and important voice in this conversation. We are the demand generator and tourism brand leader for our state, but also an influential thought leader advocating for the importance of applying a destination management mindset to how we plan for the future of tourism in Tasmania. The Hobart Airport and the State Government are well advanced with negotiations with carriers such as Singapore Airlines and Cathay Pacific once Hobart’s longer runway is commissioned in late 2025. Modelling suggests a $122 million visitor spend lift. The Qantas Hobart-Perth flights launching September 2025 give European travellers a one- step path to the island and coincide with a $200 million terminal expansion. Air New Zealand has revived its Auckland-Hobart non-stop from October to March backed by a fresh brand spend in New Zealand.

The year-round “Come Down for Air” campaign keeps Tasmania front of mind in the NZ, UK and US markets. It pitches the island’s mist, mid-winter festivals and wild landscapes to adventurous travellers, generating $1.3 billion earned-media in impressions across 21 countries last winter. Dark Mofo is back at full scale for 2025, securing multi year state funding; the festival has already lured 300,000 unique visitors since 2013. The Targa Tasmania rally and the new winter culinary festivals are marketed throughout Tourism Australia. The 2030 Visitor Economy Strategy sets a target of 400,000 international visitors and injects another $12 million into overseas marketing and trade training. Prior to the pandemic in 2019 around 300,000 international visitors came to Tasmania. The highly successful cruise ship market and the new Spirit of Tasmania ferries (2027) continue to bring an increasing number of international visitors to Tasmania.

THE TASMANIAN VIEW

P13 Salamanca Market, Hobart

Cape Tourville Lighthouse

International visitors

• Tasmania welcomed more international visitors in 2024, who spent more and stayed for longer, compared to 2023. • International visitors spent $551 million in the state, up significantly on last year (+48%, or $178 million more) driven by each visitor on average spending an additional $337 and staying almost four nights longer.

International Visitor Survey, Y/E December 2024. Tourism Research Australia

Post-pandemic international travel into Australia continued to improve throughout 2024, with Tasmania maintaining its share of all international visitors to Australia at 3.33% (3.25% in 2019), and 5.07% of holiday visitors (4.81% in 2019).

International visitation data on this page comes from Tourism Research Australia’s International Visitor Survey (IVS).

• Tasmania’s international visitor recovery leads the national average for nights (TAS 117%, national average 107%) and visitation (TAS 90%, national average 88%, of 2019). • International spend in Tasmania has recovered to pre-COVID levels (99% of 2019), while nationally spend has slightly exceeded it (105%).

Tasmania attracts a higher proportion of international holiday visitors compared to other states, and while visitation remains down on 2019 (189.8k in 2024, -16%), they spent $311 more each, leading to a total spend of $322.1m (+3% on 2019).

THE TASMANIAN VIEW

Tessellated Pavement at Eaglehawk Neck, Tasman Peninsula

SPEND VISITORS

ASPN

ASPV

NIGHTS

ALOS

$551.3 m 254.0 k 4.96 m $2,170

$111

19.5

Change from

▲ 47.7%

▲ 24.8%

▲ 55.2%

▲ $337

▼ -$6

▲ 3.8

2023

▼ -0.7%

▼ -10.2%

▲ 16.8%

▲ $208

▼ -$20

▲ 4.5

2019

SPEND $700 $600 $500 $400 $300 $200 $100 $0

VISITORS 350 300 250 200 150 100 50 0 $283k

ASPN $135 $130 $125 $120 $115 $110 $105 $100

$555.0m

$551.3m

$254k

2018 2020 2022 2024

2018 2020 2022 2024

2018 2020 2022 2024 Year ending December

Year ending December

Year ending December

ASPV

NIGHTS 6 5 4 3 2 1 0

ALOS

$4.96m

$4.25m

$2,500 $2,000 $1,500 $1,000 $500 $0

25 20 15 10

$1,962

$2,170

5 0

2018 2020 2022 2024

2018 2020 2022 2024

2018 2020 2022 2024

Year ending December

Year ending December

Year ending December

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What makes Tasmania outstanding Tasmania is different and that is what makes it outstanding. Its greatest strength is the authenticity of place and people. Factors that also resonate with our visitors are the state’s extraordinary natural environment, capacity to generate outstanding produce, the island’s ancient Aboriginal culture, its unrivalled colonial and industrial heritage, and vibrant contemporary arts, events and cultural sector. By developing these competitive strengths, through targeted government and private sector support, further investment and innovation will continue at pace. Tasmania’s globally renowned natural environment is one of the state’s most valuable assets and underpins the reputation as a must-visit destination. Our world heritage wilderness, national parks, coastal and aquatic experiences and unique wildlife are fundamental drivers of visitation. Our nature-based experiences are incredible assets and are driving visitation to Tasmania’s regional areas. As an island economy, many sectors of Tasmanian industry encourage visitation for growth and improved access. Investment in visitor infrastructure will continue to enhance the state’s desirability and drive the opportunity to visit. Prior to Covid-19, an international survey of Australia’s target markets shows that high-value travellers rank world-class nature and wildlife, safety, good food, wine and local cuisine, and world-class coastlines and marine wildlife in their top four factors when choosing destinations. Tasmania’s offering meets all of the high-value traveller’s needs in a compact island destination, which has great appeal for both short- and long-stay visitors. Tasmania has a strong association with premium cool-climate wines, and in recent years the state has become known for its strength in premium beverage production including beer, cider, wine, whisky, gin and vodka. Tasmania’s temperate climate, distinct seasons, clean water, reliable rainfall, clean air, and rich, fertile soils have seen the state develop a reputation for world-class livestock, dairy and aquaculture. Alongside this reputation is increasing recognition of the state’s seafood and niche gourmet cooking products such as seeds, honey, ginseng, olives, nuts, berries and truffles.

Ben Lomond, Tasmania

Source: Tourism in Tasmania – An Exciting Opportunity

Arthur River, Tarkine National Park

THE TASMANIAN VIEW

Tourism activities

National parks and wilderness Tasmania’s national parks cover unspoiled habitats and ecosystems with some plants and animals found nowhere else on earth. Tasmania’s protected national parks and reserves make up around 48 per cent of the state, most of which are within easy reach of major cities and other populated areas. Many of the state’s well known iconic locations are situated in or near national parks including: Cradle Mountain in Cradle Mountain-Lake St Clair National Park in the Central Highlands, Wineglass Bay in Freycinet National Park on the east coast, the Franklin River in the Gordon-Franklin Wild Rivers National Park on the west coast, the Port Arthur Historic Site near the Tasman National Park in south eastern Tasmania, and Bay of Fires near the Mount William National Park on the east coast. The state also has significant and beautiful underwater marine environments to be explored.

World heritage areas Significant areas of Tasmania’s wilderness and historic convict sites are listed by the United Nations Educational, Scientific and Cultural Organisation (UNESCO) in recognition of their outstanding natural or cultural importance to the common heritage of humanity. TASMANIAN WILDERNESS WORLD HERITAGE AREA In December 1982 the World Heritage Committee included the western Tasmanian wilderness national parks on the world heritage list. In 1989 this was expanded to encompass around 1.4 million hectares, almost a fifth of the total area of the state. The Tasmanian Wilderness World Heritage Area (TWWHA) consists of a chain of six national parks and a number of reserves and conservation areas. The TWWHA satisfies 7 of 10 natural and cultural heritage values, only one of two in the world that meet this high number. The area extends from Tasmania’s south-west, west coast and north-west and covers coastal areas, islands, rivers, mountain ranges, valleys and button grass plains of almost indescribable beauty and remoteness. It is also the world’s largest tract of temperate rainforest set aside from ‘modern life’ where an escape from all forms of communication is possible within a few kilometres of the embarkation point. CONVICT SITES Tasmania’s compelling convict heritage is officially recognised through its World Heritage listing. In July 2010, a total of 10 Australian convict sites were inscribed on the UNESCO world heritage list, 5 of which are found in Tasmania. The sites are recognised as “the best surviving examples of large-scale convict transportation and the colonial expansion of European powers through the presence and labour of convicts”. The main Tasmanian sites are the Port Arthur Historic site and the Coal Mines Historic Site on the Tasman Peninsula, the Cascades Female Factory in Hobart, Darlington Probation Station on the east coast’s Maria Island, Sarah Island on the west coast, and Woolmer’s and Brickendon estates near Launceston in northern Tasmania.

Horshoe Falls, Mount Field National Park

Source: Tourism in Tasmania – An Exciting Opportunity

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Tourism activities

of the event led to the rider favourite hosting the series for a second time in 2019 and it is now firmly placed in the competitive Enduro World Series circuit alongside Maydena Bike Park, each hosting a leg of the prestigious contest. Significant support and investment has seen the expansion of trails across Tasmania. Tasmania now has a depth of offering in different parts of the state including Maydena Bike Park which offers over 60 world class trails for elite riders through to families as well as the Mountain Bike Trail Network at St Helens, which took the gold medal at the East Coast Tasmania Tourism Awards in 2020. Further trails have opened since near Launceston and George Town with further trail developments happening on the West Coast near Queenstown and Zeehan. All trails capitalise on the unique wilderness environment. Road cycling in Tasmania is also growing, with events like the Cradle Mountain Peaks Challenge adding to the state’s reputation as a cycling destination. Tasmania’s west coast has also been listed in Lonely Planet’s “World’s top 10 greatest cycling routes” and there are more cycling events and projects under development, which together will make Tasmania a centre for cycle tourism.

Award winning bike riding trails and international events Tasmania has developed a global reputation for superb mountain biking fuelled by an expanding network of worldclass trails through the wilderness and the support of towns dedicated to mountain bikers. The amazing, award winning, Blue Derby Trails have put north-east Tasmania firmly on the world mountain biking map, especially after hosting a round of the International Enduro World Series at Derby in April 2017 – the first time it has been held in the southern hemisphere. The success

THE TASMANIAN VIEW

Blue Derby Bike Trails

Golf courses for the ‘bucket list’ With scenic views guaranteed and some of the country’s best courses, Tasmania is a great place to swing a club. Tasmania is home to three of the World’s 100 Greatest Golf Courses as ranked by Golf Digest – Cape Wickham, Barnbougle Dunes and Barnbougle Lost Farm. As traditional links courses, these three courses have been built in the Scottish style. Barnbougle Dunes and Barnbougle Lost Farm, on Tasmania’s north coast, overlook Bass Strait, mirroring the breathtaking landscapes of Scotland and Ireland’s wild coastal links courses. King Island is home to the state’s newest course, Ocean Dunes, which is ranked thirteenth on the list of Australia’s best public courses, and Cape Wickham ranking third. Situated in Tasmania’s central highlands, Ratho Farm is Australia’s oldest golf course, created by homesick Scottish migrants in the 1830s. Thoughtfully and tastefully restored, Ratho Farm has become a national pilgrimage for Australian golfers to learn about the origins of their favourite pastime. In the south, the Tasman Club near Port Arthur features a spectacular tee shot to a pocket-handkerchief green

on the far side of a deep chasm, where vertical sea cliffs plummet to surging ocean swells far below. A new addition to golf offerings in the south is the proposed multi-use public recreation reserve and golf course at Arm End, near Opossum Bay. This project would see the development of a links course on an incredible 16-hectare parcel of land that is located on a peninsular, surrounded by six beaches, several kilometres of cliff and with spectacular and dramatic views. Just 15 minutes by ferry from Tasmania’s capital city, Hobart, and designed by acclaimed golf course architects, the course is expected to be regarded amongst the top ranked courses in Australia. The much anticipated 7 Mile Beach Golf Course is set to open in late 2025. Developed by PGA Tour Professional, Mathew Goggin, and designed by Michael Clayton, this world class 18 hole course will be open to the public. The course blends traditional links-style golf with stunning coastal views of Hobart’s iconic Tiger Head Bay. Further down the track, a second course, 5 Mile Beach, has received a DA on a 921 hectare site.

S ource: Tourism in Tasmania – An Exciting Opportunity

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AIR TRAVEL TO HOBART, LAUNCESTON, DEVONPORT & WYNYARD AIRPORTS

Tasmanian visitation sources

SEA TRAVEL TO DEVONPORT

CRUISE SHIPS TO HOBART AND BURNIE

Tasmania is totally reliant on three sources of visitation:

THE TASMANIAN VIEW

AIR TRAVEL From March 2024 to February 2025 there were a record 2,772,286 passenger movements to Hobart. These record breaking figures come as the airport invests $200 million to double the size of the terminal by 2027, adding more seats, enhancing security screening, additional departure gates, expanded baggage carousels, and an array of food and retail outlets. Visitor numbers are expected to double in 20 years and Hobart Airport are in discussions with airlines about establishing new direct flights to Asia as extensive runway upgrades near completion. Launceston Airport received 1,423,947 passengers in 2023/24 with its busiest month ever in January 2025, welcoming 159,032 passengers. During 2024 and 2025 the airport carried out the most significant terminal renovations in 20 years. SEA TRAVEL The TT-Line Company Pty Ltd, trading as the Spirit of Tasmania is a State Government owned business that has been offering ferry services for passengers, vehicles and freight between Devonport and Geelong (previously Melbourne) since 1993. The trip takes between 9–11 hours in each direction. Two new ships, Spirit of Tasmania IV and V arrive in late 2026. These vessels can accommodate up to 1,800 passengers, an increase of 400 from the previous ships. They represent a significant upgrade in size and capacity, particularly for larger vehicles such as caravans and motor homes, whereby the increased difference is 59.8%. The number of people booked for travel from December 2024 to May 2025 is a record 167,274, up 3,299 from the previous year. CRUISE SHIPS In 2024/25 there were 143 port calls across the state including Hobart (83), Burnie (33), Port Arthur (19) and regional ports (8). On shore expenditure by passengers and crew was estimated as $31 million. A survey of passengers indicated 70% planned to visit Tasmania again.

The Spirit of Tasmania, Devonport

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Tasmania by region

King Island

Flinders Island

Burnie

Devonport

Launceston

Cradle Mountain

-Lake St Clair National Park

Freycinet National Park

Strahan

Hobart

Southwest National Park

Tasman National Park

Map key

Port Arthur

Map key

North

Passenger ferries and cruise ship ports

South

Major airports

East Coast Passenger ferries and cruise ship ports Major airports

Regional airports

West and North West

THE TASMANIAN VIEW

Tasman Peninsula

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The Hobart tourism market For the year ended December 2024, 1,310,400 interstate and international people visited Tasmania (excluding cruise ship visitors).

The Tasmanian Visitor survey reports that 76% of these visitors spent at least one night in Hobart. Hobart and the surrounding region have always been Tasmania’s tourist drawcard with a number of internationally acclaimed sites and events such as:

• • • • • • •

MONA

• • • • • •

Royal Tasmanian Botanical Gardens

Salamanca Markets

Dark Mofo

Tasmanian Museum and Art Gallery

Taste of Summer

CITY

kunyani (Mount Wellington)

Bonorong Wildlife Sanctuary

AFL football

Hobart Waterfront and Constitution Dock

International cricket matches

Sydney to Hobart Yacht race

Cascade Brewery

• • • •

Bruny Island

• • • •

Derwent Valley

Port Arthur Historic Site Coal River Valley Wineries

Historic town of Richmond

Tasman Peninsula – 3 Capes Track Tahune Airwalk and Hastings Caves

REGIONAL

Huon Valley

Tourism Tasmania’s long range demand forecast projects 2,200,000 overnight visitors by 2030. Apply Hobart’s historic 70-75% share, that implies 1.54 to 1.65 million visitors.

THE TASMANIAN VIEW

Hobart Waterfront

Hobart tourism growth prospects

• The $1billion Macquarie Point Stadium with 23,000 seats and a covered roof to enable Tasmanians to have a team in the national AFL competition. The stadium would be multipurpose for football, cricket, shows and entertainment artists, trade events. • 1,500 seat conference centre at Macquarie Point. • Completion of the extended Hobart Airport runway and securing direct flights to overseas destinations such as New Zealand, South East Asia and Singapore. • The continued expansion of MONA, which single handedly started our tourism boom in 2011. • The increasing cruise ship visitation. • Continued State sponsorship of events such as the Taste of Summer and MONA backed events. • Continued promotion of adventure-tourism expected to grow 18% to 2031 with Hobart positioned as the Antarctic gateway and gateway to the South-West wilderness. • Increasing funding and brand awareness. Travel + Leisure readers recently voted Hobart “the best City in Australia”.

Our continued growth in the tourism sector will come naturally but can be accelerated by a number of tourism projects on the drawing board!

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Hobart Waterfront

Proposed hotel developments

Other Hobart proposed hotel developments include the following:

LENNA OF HOBART Lloyd and Jan Clark have proposed to construct a new 85 room, six star boutique hotel on the existing Lenna carpark site. Council refused the development, and no fresh application has been lodged by 2025. MONA The owner David Walsh previously proposed a 172- room hotel on the site – This has since been replaced by a tunnel connected to the ferry jetty to a gallery built in 2022 as well as a new wing to house Walsh’s rare book collection (to open in 2026). KANGAROO BAY HOTEL DEVELOPMENT Chambroad Australia propose a 155 room hotel plus conference and meeting facilities on the Bellerive foreshore. The land was acquired in 2017 and there has been numerous delays , lodgements and objections right through to 2025.

5-7 SANDY BAY ROAD Fragrance group obtained a DA in 2025 for 75 serviced apartments, 12 residential town houses, cafe and ground-floor parking on the former conservatorium of Music site. TASMAN HOTEL EXPANSION A $9 million expansion of the five-star Tasman Hotel has been proposed, including a 600m 2 function room with a capacity for 210 seated and 350 standing guests. This addition aims to enhance event hosting capabilities. TREASURY BUILDING The State Government has called for Registrations of Interest for the large heritage listed Treasury Building in Murray Street. No doubt some proponents may submit plans for a hotel development. ROSNY HILL HOTEL PROPOSAL A controversial proposal for a 60-suite hotel at Rosny Hill Recreation Area has been recommended for approval with a permit extended to 2025. The development includes spa facilities, a restaurant, and public lookout structures, though it faces opposition from local groups.

THE TASMANIAN VIEW

MONA, Hobart

The Marriott, Hobart

The Tasman, a Luxury Collection Hotel, Hobart

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Southern Tasmanian key THA statistics

Year Ended April 2025

Comparative Annual Room Rates - South

YEAR

ROOM RATES

April 2025

$248.09

April 2024

$240.84

April 2023

$240.41

April 2022

$206.19

Comparative Annual Yield - South

YEAR

YIELD

April 2025

$195.53

April 2024

$189.81

April 2023

$188.71

April 2022

$139.11

Comparative Annual Occupancy - South

YEAR

OCCUPANCY LEVEL

April 2025

78.8%

April 2024

78.8%

April 2023

78.5%

April 2022

67.5%

THE TASMANIAN VIEW

Hobart Waterfront P29

The new Vibe Hotel. Hobart

Greater Hobart room inventory

Hobart has a room inventory of approximately 4,299 as at May 2025. Properties with more than 100 rooms include:

296 – Ibis Styles 274 – Movenpick 269 - Wrest Point

242 – Old Woolstore 235 - Crown Plaza 152 - The Tasman 142 – Vibe 140 – Best Western

131 - Travelodge 125 – RACV 123 – Allurity 114 – Macq01

256 – Double Tree Hilton 244 - Grand Chancellor

THE TASMANIAN VIEW

Hobart hotel room summary

Tasmania is different and that is what makes it outstanding. Its greatest strength is the authenticity of place and people.

Hobart receives around 73% of all visitors to Tasmania resulting in high occupancy as our city struggles to accommodate tourists, particularly from December through to April. A report commissioned by the Government in 2017 indicated that based on growth targets, Hobart city would require an additional 1,478 rooms by 2020. Since 2017 the following newly-constructed hotel properties opened;

BRAND

LOCATION

NO. OF ROOMS OPENED

MACQ01

Sullivans Cove

114

2017

IBIS STYLES

Macquarie Point

296

2017

MOSS HOTEL

Salamanca Place

41

2019

CROWN PLAZA

Liverpool Street

235

2020

VIBE

Argyle Street

142

2020

CITY APARTMENTS

Elizabeth Street

80

2020

THE TASMAN

Davey Street

152

2021

MOVENPICK

Elizabeth Street

221

2021

SIXTY SIX BOUTIQUE APARTMENTS

North Hobart

20

2023

DOUBLE TREE HILTON

Macquarie Street

256

2024

TOTAL

1,610

So from 2017 to 2024 the documented Hobart Shortfall of 1,478 rooms was rectified by new construction totalling 1,610 rooms.

P31

The Launceston tourism market

Launceston is Tasmania’s second major city and a vibrant hub for food and wine, culture and nature. The whole region is packed with city and country charm, gorgeous old towns, excellent food and wine, and beautiful scenic highlights. The Launceston area is currently going through a large development phase which will revitalise the whole of the north region. Projects include: CITY HEART PROJECT - STAGE 2 The $20 million project aims to make central Launceston the premiere business, retail and lifestyle hub of Northern Tasmania. The Launceston City Heart Project will redefine central Launceston as a modern regional retail, cultural and business hub. It seeks to make Launceston a more vibrant and energetic place, where people of all ages can socialise, shop, work and play.

Stage 2 from 2024 to 2029 encompasses people-first streets, tree-lined corridors, mixed use infil, river walk links and a George Street dining deck trial. UTAS ( The University of Tasmania) recently built a new campus at Inveresk in the heart of Launceston. The project is worth $344 million and the full relocation will be completed in 2025 with the aim of 10,000 students on-site by 2032. LAUNTEL , a new Launceston based Telco has recently provided gigabyte technology, making it one of the fastest in Australia and has been awarded “best internet provider in Australia, 3 years running. The Singapore-based Fragrance Group purchased the Clarion Hotel complex in November 2016. An amended application in October 2023 scaled down the tower from 12 storeys to 9 storeys and cut the warehouse hotel rooms from 230 to 179. As at May 2025, construction has commenced. There is a $45 million proposal for a Pullman (Accor) hotel to be built in Wellington Street overlooking Royal Park. It is for 11 storeys containing 139 rooms, brewery, restaurant and bar. Work was to commence in 2025 but the project is now in doubt.

THE TASMANIAN VIEW

Cataract Gorge, Launceston

The Launceston General Hospital development is a 20 year, 4 stage program running to 2041, costing $580 million and is the largest refurbishment since 1981. It will incorporate a mental health precinct, Northern heart centre, research & innovation building, helipad access, paediatric ward and outpatient clinic, sterile production pharmacy and ambulance bay upgrade. The Hotel Verge Launceston , opened in September 2020, and provides 86 rooms as well as a restaurant, gym and meeting facilities in the centre of Launceston in Tamar Street. Stillwater Seven (7 architecturally designed rooms) opened in December 2024 at the iconic waterfront Stillwater Restaurant. The rooms were created to showcase Tasmanian talent. Renew, reuse, reduce, recycle - sustainable model of accommodation. The Cataract Gorge Chairlift was built in 1972 and is earmarked for a complete redevelopment. Currently going through council with a start date for 2026. The Alexandra Suspension Bridge was completed in 2025 and first basin track works are underway.

The Gorge Hotel is a long planned nine storey 5-star hotel with 145 rooms, 5 penthouses, 500 seat conference centre, restaurants, bar and 154 space car park to be built on the corner of Paterson and Margaret Streets. In 2024 the Supreme Court rejected appeals and it is set to go ahead once the developer JAC Group lines up a hotel operator. Upgrade to Albert Hall , work is expected to finish in 2025 to give the 1891 heritage convention centre an interior facelift. The east wing is being modernised and there is a new 2 storey extension facing city park. The $27.5 million CH Smith development is now near full occupancy as at May 2025. It contains 5,000 sqm of A Grade office space, retail and food tenancies plus a 300 bay car park. The Country Club development is a multi-year project transforming the 300 hectare resort at Prospect Vale. It will include 372 residential lots over 10 stages, a new championship par 72 golf course, a driving range and a mini golf facility, and a refresh of restaurants, bars and event spaces. The driving range & mini golf open in 2025 and the golf course to follow in 2026. Launceston Airport is undergoing its first major terminal renovation in 20 years. A $100 million capital program covers both the terminal and airfield infrastructure.

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Northern Tasmanian key THA statistics

Year Ended April 2025

Comparative Annual Room Rates - North

YEAR

ROOM RATES

April 2025

$172.86

April 2024

$172.42

April 2023

$193.65

April 2022

$169.75

Comparative Annual Yield - North

YEAR

YIELD

April 2025

$134.50

April 2024

$129.62

April 2023

$152.14

April 2022

$111.74

Comparative Annual Occupancy - North

YEAR

OCCUPANCY LEVEL

April 2025

77.8%

April 2024

75.2%

April 2023

78.6%

April 2022

65.8%

THE TASMANIAN VIEW

P35 Seaport, Launceston

Greater Launceston room inventory Greater Launceston has a current room inventory of 1,769. This excludes properties with less than 10 rooms, B&B’s or pub accommodation. Properties with more than 80 rooms are:

182 – Country Club 165 – Grand Chancellor 140 – Best Western 116 – Mercure 108 – Peppers Silo 99 – Mantra Charles

86 – Hotel Verge 81 – Penny Royal

THE TASMANIAN VIEW

Peppers Silo Hotel, Launceston

Peppers Silo Hotel, Launceston

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The north west & west coast tourism market The north west and west coast is home to some of the state’s best-known natural attractions, including the World Heritage Franklin and Gordon Rivers, Cradle Mountain, the Tarkine – Australia’s largest temperate rainforest – the west coast wilderness railway and the roaring surf of Marrawah.

The region includes the main cities of Devonport (the home port of the Spirit of Tasmania ferries) and Burnie with the coastal communities of Penguin, Wynyard, Stanley, Strahan and King Island, as well as the hinterland towns of Deloraine, Latrobe, Queenstown and Sheffield. The area produces some of the state’s finest cheeses, chocolates and farm produce, as part of the Cradle to Coast Tasting Trail. New projects in some of the key areas are as follows: DEVONPORT LIVING CITY PROJECT The overall Devonport region is expected to benefit from the $250 million Devonport Living City Project, which is one of the largest urban renewal projects ever undertaken in regional Tasmania. Construction of Stage 1 was completed in 2018 and included a new multi-purpose civic building, council offices, 800 seat convention centre, food pavilion, and multi-storey car park. The food pavilion, known as ‘Providore Place’ showcases premium North West Tasmanian products. Stage 1 was the catalyst for the project as it frees up the

land necessary to complete the Waterfront Precinct (Stage 3) and Retail Precincts (Stage 2) in the future. As part of the project, the 187 room Novotel hotel owned by Fragrance Group was completed in Nov 2022 and council revitalised the surrounding land into a waterfront park. Completed in 2017, the waterfront apartments located on the Mersey River comprise fully self-contained 1 and 2 bedroom apartments with fully equipped kitchens, laundry and a private patio. The apartments form part of the In 2017 the State Government announced they would deliver two new purpose-built Spirit of Tasmania vessels which will be 30% larger than the current ships – increasing passenger capacity by 43% and freight capacity by 39% at a cost of $688 million. The delivery of Spirit IV and Spirit V has been delayed as the new ferry port infrastructure is yet to be completed. The Devonport Quay link, a new freight terminal has a costing of $654 million. Waterfront complex. DEVONPORT PORT

The Nut, Stanley

THE TASMANIAN VIEW

Tarkine, Tasmania

CRADLE MOUNTAIN CABLEWAY AND VISITOR EXPERIENCE Funding is being sought from the Federal Government for an 8 kilometre gondola from the visitor centre to Dove Lake, plus village style visitor facilities. Planned to open by 2029. TABLE CAPE LUXURY RESORT Development approvals in place for a $100 million, 50 room clifftop hotel with a restaurant, spa and function centre overlooking Bass Strait. Completion targeted for 2026. NORTH WEST COASTAL PATHWAY A 110 kilometre shared cycle/walk path stitching together Wynyard, Burnie and Devonport. Multiple sections are already open with completion due in 2028 TARKINE ADVENTURE HUB A visionary project aimed at creating a world class ecotourism destination in the Tarkine region and is expected to include accommodation, guided tours and immersive nature experiences. ONE NORTH TERRACE - BURNIE A 30 room boutique hotel on North Terrace, operated by 1834 hotels and opened in September 2024. OTHER DEVONPORT DEVELOPMENTS Devonport is Tasmania’s busiest port, 3rd largest city and the region has the fastest growing GDP at $3.5 billion. Other proposed developments include the Indie school CBD campus, new indoor sports stadium, Stony Rise village shopping centre and Devonport Health Hub.

REGIONAL DEVELOPMENTS • Robbins Island is 20 kilometres from Smithton and ACEN Australia propose a 100 turbine windfarm for an investment of $3 billion to create 400 construction jobs. As at May 2025 the decision was deferred by the Federal Environment Minister. • Marinus Link, the 345 kilometre electricity and fibre-optic interconnector will run from Heybridge near Burnie, across the Bass Strait to the Latrobe Valley in Victoria. Federal and State Governments are progressing with approvals for this $5.5 billion two-cable build with a start date for 2026 and completion by 2030. • Grandville Harbour Wind Farm is a $280 million project with 31 turbines commissioned in 2021, instantly lifting Tasmania’s installed wind capacity by 33%. • Tyndall Range Walk, a 3 day trek over 28 kilometres between Lake Plimsoll and Lake Margaret at a cost of $40 million. Expected to open in 2029. • The Strahan Waterfront Precinct Redevelopment includes a complete facelift of the historic wharf area, new visitor centre to be completed by 2026. • The West Cost Wilderness Railway has new funding of $12.9 million in the current budget to support operations and assist upkeep. • The West Coast mountain bike trail network consisted of 2 stages across 3 hubs, with over 85 kilometres opening fully in 2025.

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