August 3, 2026

Southeast Asia: A Region of Growth

Southeast Asia continues to attract global investors through a combination of economic expansion, urbanization, infrastructure development, rising consumer demand and strong tourism fundamentals.

The region's real estate markets are supported by several long-term growth drivers:

• Growing middle-class populations
• Increasing international tourism
• Expanding infrastructure and connectivity
• Rising demand for hotels and resorts
• Urban development and residential demand
• Growing foreign direct investment
• Attractive opportunities in emerging markets

The region also benefits from increasing connectivity between major cities and tourism destinations, creating new opportunities for real estate development and hospitality investment.

Investment Outlook

As Southeast Asia continues to develop, real estate is becoming increasingly connected to tourism, infrastructure and broader economic growth.

For investors, this creates opportunities across hospitality assets, resort developments, mixed-use projects, commercial real estate and strategically located development land.

While each ASEAN market has its own economic conditions and investment profile, the combination of tourism growth, infrastructure investment and rising demand for high-quality real estate provides a strong foundation for long-term opportunities

INDONESIA

Scale, Tourism and Emerging Destinations

Indonesia offers one of the most diverse real estate investment environments in Southeast Asia.

The country's large domestic economy, extensive coastline, globally recognized tourism destinations and continuing infrastructure development create opportunities ranging from established luxury hospitality to emerging destination development.

The World Bank projects Indonesia's economy to grow approximately 5.0% in 2026, followed by around 5.2% growth in 2027 and 2028.

Tourism & Hospitality Outlook

Indonesia's international tourism market continues to expand.

In April 2026, the country recorded approximately 1.25 million international visitor arrivals, representing a 7.22% year-on-year increase.

Star-hotel occupancy reached approximately 48.83% during the same month.

Indonesia's hospitality opportunity extends beyond established destinations such as Bali. Emerging areas are attracting increasing attention as infrastructure improves and international tourism expands.

Key Investment Destinations

Bali — Established global luxury and lifestyle destination

Jakarta — Business, commercial and mixed-use real estate

Lombok — Emerging tourism and resort destination

South Lombok — Development opportunities supported by growing tourism and infrastructure

Indonesia presents opportunities in:

• Luxury resorts
• Boutique hotels
• Villa developments
• Eco-resorts
• Wellness retreats
• Resort development land
• Hospitality acquisitions

The country's combination of scale, tourism strength and emerging destinations provides opportunities for investors seeking both established hospitality markets and earlier-stage development opportunities.

VIETNAM

Strong Economic Growth and Expanding Tourism

Vietnam has emerged as one of Southeast Asia's most dynamic real estate and hospitality markets.

The country combines strong economic growth with urbanization, infrastructure investment, expanding consumer demand and rapidly developing tourism destinations.

The World Bank projects Vietnam's economy to grow approximately 6.8% in 2026, followed by 7.1% in 2027 and 7.4% in 2028.

These growth expectations position Vietnam among the region's strongest economies for long-term investment.

Tourism & Hospitality Outlook

Vietnam's tourism sector continues to show strong momentum.

The country welcomed approximately 12.25 million international visitors during the first six months of 2026, representing a 14.9% increase year-on-year.

Vietnam is targeting approximately 25 million international visitors in 2026, highlighting the country's continued focus on tourism expansion.

The combination of rising tourism demand and expanding infrastructure is supporting opportunities across coastal and urban hospitality markets.

Key Investment Destinations

Ho Chi Minh City — Commercial, residential and mixed-use development

Hanoi — Business, commercial and urban development

Da Nang — Coastal tourism and resort development

Phu Quoc — Luxury resorts and destination hospitality

Central Vietnam — Beach, cultural and lifestyle tourism

Potential investment opportunities include:

• Beach resorts
• Luxury hotels
• Boutique hospitality
• Wellness resorts
• Resort development land
• Hotel acquisitions
• Branded hospitality

Vietnam's combination of strong economic growth, accelerating tourism and infrastructure development provides a compelling long-term outlook for real estate and hospitality investors.

THAILAND

An Established Market with a Shift Toward Higher-Value Tourism

Thailand remains one of Southeast Asia's most established real estate and hospitality markets. Its mature tourism infrastructure, international connectivity and globally recognized destinations continue to support demand for hotels, resorts, branded residences and lifestyle developments.

The World Bank projects Thailand's economy to grow approximately 1.7% in 2026, with growth expected to strengthen to around 2.1% in 2027.

While Thailand's economic growth is more moderate than some neighboring markets, its established tourism ecosystem remains a major advantage for hospitality investors.

Tourism & Hospitality Outlook

Thailand welcomed more than 14 million international visitors by June 2, 2026, generating approximately THB 679 billion in tourism revenue.

The Tourism Authority of Thailand is targeting approximately 33 million international arrivals and around THB 2.65 trillion in total tourism revenue for 2026.

Thailand's tourism strategy is increasingly focused on quality over volume, with greater emphasis on luxury travel, wellness, culture, gastronomy and unique experiences.

This creates opportunities for investors in:

• Luxury resorts
• Boutique hotels
• Branded residences
• Wellness resorts
• Hotel acquisitions
• Mixed-use hospitality developments

Key Investment Destinations

Bangkok — Commercial, business and mixed-use development

Phuket — Luxury resorts, branded residences and international tourism

Pattaya — Hospitality, residential and lifestyle development

Chiang Mai — Wellness, lifestyle and cultural tourism

Thailand's future hospitality opportunity is increasingly centered on attracting higher-spending travelers through premium experiences and differentiated properties.

LAOS

An Emerging Market with Growing Regional Connectivity

Laos is a smaller and more emerging real estate market compared with Thailand, Vietnam and Indonesia. However, its strategic position within mainland Southeast Asia and improving regional connectivity create a distinct long-term investment proposition.

The World Bank projects Laos' economy to grow approximately 3.8% in 2026, with moderate growth expected to continue over the following years.

Infrastructure development and stronger regional connections are important factors supporting the country's future economic and tourism potential.

Tourism & Hospitality Outlook

Tourism remains an important part of the Lao economy.

Laos recorded approximately 4.6 million international arrivals in 2025, up from more than 4.1 million in 2024.

For 2026, the country expects approximately 5–6 million international tourists, with Chinese visitors expected to represent a significant share of arrivals.

Improving regional connectivity, including the Lao-China railway, is helping integrate Laos more closely with neighboring markets and regional tourism routes.

Key Investment Destinations

Vientiane — Commercial and urban development

Luang Prabang — Cultural tourism and boutique hospitality

Mekong destinations — Nature, lifestyle and experiential tourism

Regional corridors — Infrastructure-led commercial opportunities

Laos is particularly suited to selective and niche hospitality investment, including:

• Boutique hotels
• Eco-resorts
• Cultural tourism
• Wellness retreats
• Nature-based hospitality
• Small luxury resorts

As regional connectivity improves, Laos offers the potential to participate in an emerging tourism market before it reaches the maturity of neighboring destinations.

Tourism Momentum

Indonesia
Approximately 1.25 million international arrivals in April 2026, up 7.22% year-on-year

Vietnam
Approximately 12.25 million international arrivals in H1 2026, up 14.9% year-on-year

Thailand
Approximately 33 million international arrivals targeted for 2026

Laos
Approximately 5–6 million international arrivals targeted for 2026

INVESTING IN SOUTHEAST ASIA'S NEXT GENERATION OF HOSPITALITY

Southeast Asia offers a diverse range of real estate and hospitality opportunities — from established luxury resorts to emerging destinations with significant development potential.

For investors seeking hotel acquisitions, resort investments, development land or strategic hospitality opportunities, understanding the differences between each market is essential.

Realty Asia provides access to selected real estate and hospitality opportunities across Southeast Asia, connecting investors with assets positioned for long-term growth.