Melbourne hotel occupancy surges as interstate fans travel for AFL grand final
Melbourne hotel occupancy climbed almost 19 per cent year-on-year on AFL grand final Saturday as supporters of the Brisbane Lions and Fremantle Dockers travelled to the city for a thrilling all-interstate decider, won by Brisbane after a late comeback.
Occupancy across the broader Melbourne market reached 92.4 per cent on Saturday, September 26, up from 77.9 per cent on grand final Saturday in 2025, when the Brisbane Lions defeated the Geelong Cats. The average daily rate (ADR) increased 28.2 per cent over the same period, rising from $329.61 to $422.52, CoStar hospitality data shows.
The uplift began before match day, with Friday occupancy increasing 17.8 per cent to 91.8 per cent and ADR climbing 28.5 per cent to $400.64. The 2026 result coincided with a grand final featuring two interstate teams, compared with one interstate participant in 2025.
“The result highlights the strength of event-driven demand in Melbourne, and the AFL grand final remains one of the city’s strongest demand drivers, attracting visitors from across the country and providing a significant boost to the hotel sector and wider visitor economy,” says STR regional director pacific Matthew Burke.
On Saturday, Melbourne Centre hotels recorded 94.4 per cent occupancy and an ADR of $510. Demand spread across all hotel segments, with Luxury and Upper Upscale properties achieving 94.4 per cent occupancy and an ADR of $584.55. Upscale and Upper Midscale hotels reached 91.1 per cent occupancy with an ADR of $347.47, while Midscale and Economy hotels posted 91.2 per cent occupancy and an ADR of $241.74.
“Upper-tier accommodation saw the strongest rate growth, although all hotel segments benefited from the strong level of visitor demand across the city,” Burke says.
In the final game of the home and away season, 100,023 attended the MCG to watch Brisbane complete a second “three-peat”, 23 years after they last achieved the same feat.
The occupancy results eclipsed those of two weeks earlier when 100,021 fans descended on the MCG for the US NFL’s first regular-season game in Australia on September 11.
That event saw hotel occupancy in Melbourne of 89.4 per cent and an ADR of $372.61 on the Thursday night before kick-off. The Victorian government has inked a four-year deal with the NFL to host two games at the MCG, with the option of a third game within the term.
However, the AFL grand final fell short of the occupancy levels achieved in March during this year’s Australian Grand Prix, when Melbourne hotels reached 94.5 per cent occupancy on Saturday, March 7. Formula 1 also commanded stronger room rates, with ADR reaching $594.61 compared with $422.52 on Grand Final Saturday.
The Australian Open, which kicks off Victoria’s major event calendar each year, saw occupancy reach 81.3 per cent on Saturday, January 31, with an ADR of $334.93.
