Maximizing Remaining Occupancy Hold (ROH) for Ultimate Success in Hospitality

by | Oct 4, 2023

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What is Remaining Occupancy Hold ROH

In this article, we’ll unravel the secrets of ROH, exploring how it affects room types, property tax, and the qualifications needed to embark on this journey.

Whether you’re an avid traveler or a hospitality enthusiast, prepare to be captivated by the allure of ROH as we delve into its intricacies.

Get ready for an extraordinary journey through the world of hotel management, where every check-in is an adventure waiting to unfold.

ROH, a concept deeply rooted in Singapore’s hospitality landscape, brings a new dimension to the guest experience.

It’s a room type that remains a tantalizing mystery until the moment of check-in, promising a stay full of surprises and possibilities.

Key Takeaway

  1. ROH Overview: ROH is a system in Singapore’s hospitality industry where hotels reserve rooms for government use at discounted rates.
  2. Balancing ROH: Hotel operators need to balance ROH rooms with other room types to optimize revenue and occupancy rates.
  3. Benefits of ROH: ROH can increase revenue opportunities, flexibility, and the quality of guest experiences.
  4. Impact on Rental Rates: ROH can positively impact rental rates and efficient room management.
  5. Consideration for Disabled Guests: Hotels implementing ROH should consider the needs of disabled guests while maintaining flexibility.
  6. ROH Implementation: Transparency, clear terms, and responsible practices are key to successful ROH implementation.
  7. Key Factors for Eligibility: Effective communication, a robust management system, and compliance with regulations are key factors for ROH eligibility.
  8. Compliance with Standards: Compliance with industry standards and regulations is crucial when implementing ROH.
  9. Best Practices for ROH: Strategies for managing ROH include transparency, training staff, and maximizing revenue through flexibility.
  10. Alternatives to ROH: Consider alternatives like waitlists, guaranteed early check-ins, and guaranteed late check-outs to enhance guest satisfaction and revenue.

Remaining Occupancy Hold (ROH) in Singapore – Room Type, Property Tax, Qualify and Revenue 

Remaining Occupancy Hold (ROH) is a concept that is commonly used in the Singapore hospitality industry.

It refers to a type of agreement between a hotel operator and the Singapore government.

In this agreement, the hotel operator is obligated to reserve a certain number of rooms for government use at a discounted rate.

This article will provide an overview of ROH, how it affects room types and property tax, as well as the qualifications and requirements for ROH.

Overview of the Remaining Occupancy Hold (ROH) in Singapore 

ROH is a management system that helps Singapore manage its limited land resources and cater to the needs of both the government and the general public.

Under ROH, hotels in Singapore are required to reserve a certain percentage or number of rooms for the government’s use.

These rooms are typically used to accommodate government officials, foreign dignitaries, and other official visitors.

ROH helps determine the availability of rooms for government use.

The Singapore government provides a template for the hotel operator to reserve and allocate rooms according to the occupancy rate.

The government pays the hotel operator a fixed property tax rate for each ROH room occupied.

This arrangement ensures that the government has access to rooms when needed and also provides a source of revenue for the hotel.

How ROH Affects Room Types and Property Tax

Implementing ROH can have a significant impact on a hotel’s revenue and room availability.

Hotel operators need to carefully balance the ROH rooms with the other room types to optimize revenue per available room (RevPAR) and occupancy rate.

Hotels that have a higher ROH commitment may face a higher risk of lower yield due to the discounted rates for government bookings.

However, having ROH rooms can also be an attractive incentive for the government and can appeal to hotel chains seeking government meetings and events.

The hotel operator needs to forecast the occupancy and reservation patterns of both regular guests and government officials to ensure proper allocation of ROH rooms.

In some cases, the maximum share of ROH rooms per person, credit, or meeting may be regulated by the government to represent a fair distribution.

Compliance with these regulations is crucial for maintaining a good relationship with the government and maximizing revenue potential.

Qualifications and Requirements for ROH

To qualify for ROH, hotels need to meet certain criteria set by the Singapore government.

The qualifications may include the number of rooms, room availability, forecasted occupancy rate, and more.

The calculation of ROH rooms depends on the parameter set by the government, such as the date, bed type, and availability of rooms.

Hotels that comply with the ROH requirements are eligible for a lower property tax rate.

 The government determines the property tax and may vary based on factors like the hotel’s location, category, and description.

In conclusion, ROH is an agreement that helps Singapore efficiently manage the availability of hotel rooms for both government and public use.

It enables the government to reserve rooms at a discounted rate while providing a source of revenue for hotel operators.

Hotel operators must carefully manage their room types and occupancy rates and comply with government regulations to maximize revenue and maintain a good relationship with the government.

Benefits and Challenges of ROH – Rental | Disable 

Benefits of Using ROH Intro

When it comes to the hospitality industry in Singapore, one term that often comes up is the Remaining Occupancy Hold (ROH).

This term refers to a room type that is not specified when making a reservation, allowing hotels to have flexibility in their room allocations.

There are several benefits and challenges associated with the ROH approach.

The owner’s grouping is used to determine the General Development Subsidy (GDS) that is granted per annum.

This set-up allows for a rate of around 5% to be applied to the value of the property.

The owner’s grouping is comprised of individual property owners who are categorized based on their occupation.

For instance, a widow would fall under a specific category.

This grouping is used in determining the amount of GDS that each property owner is entitled to.

By categorizing the owners based on their occupation, it allows for a fair distribution of subsidies to be allocated.

The rate of around 5% ensures that the subsidies provided are reasonable and suitable for the owners.

This method of calculation takes into consideration the specific needs and circumstances of each property owner, ensuring that the subsidies are allocated appropriately.

The owner’s grouping is an integral part of the GDS system, ensuring that those who are eligible receive the necessary support to maintain their properties.

When booking a hotel, it is important to consider the amenities offered in-room.

Whether it be a comfortable bed, a spacious bathroom, or a mini-fridge, these small luxuries can make a big difference in the overall experience.

Additionally, guests often look for the “best available” rooms, which typically offer the best views, location, and overall quality.

However, it is important to note that the best available rooms usually come with a higher price tag.

Another factor to consider when booking a hotel is the condition of the pipes.

Older buildings may have issues with their plumbing system, such as leaks or low water pressure, which can greatly affect the comfort of guests.

Lease terms should also be taken into account, particularly for long-term stays.

Understanding the length and flexibility of a lease agreement is crucial to avoid any unexpected fees or penalties.

Natural disasters can also impact the hospitality industry.

Hotels located in areas prone to hurricanes, earthquakes, or floods should be equipped with proper certifications and safety measures to ensure the well-being of their guests.

Lastly, the competitiveness of the hotel market plays a significant role in pricing.

For example, if a hotel wants to offer a 20 percent discount to attract more guests, they must consider their competitors’ pricing strategies and adjust accordingly.

E.g amenities, lease terms, certification, natural disasters, and competitiveness are all important factors to consider when booking a hotel.

Revenue opportunities with ROH

Hotels that implement the ROH strategy can reap significant revenue opportunities.

By not committing to a specific room type, hotels can exceed their rental rates and maximize their revenue potential.

This flexibility allows hoteliers to accommodate different market segments and tailor their offerings to specific customer needs.

The competitive nature of the hotel industry makes it crucial for establishments to optimize revenue per available room.

The benefits of ROH include the ability to offer attractive packages and rate structures based on the hotel’s specific market demands.

This approach has been successfully adopted by hotels in South Korea, such as the Malayan Airways Hotel, to increase their revenue streams.

Moreover, the ROH strategy enhances the quality of life for hotel guests.

It provides them with the opportunity to experience various room types and enjoy different facilities within the hotel.

This diversity contributes to a more satisfying stay and encourages guests to return in the future.

Impact on rental rates and business operations

Implementing the ROH strategy can have a positive impact on rental rates and overall business operations.

By not limiting guests to specific room types, hotels can improve customer satisfaction and increase occupancy rates.

This flexibility increases the appeal of the hotel to a wider range of potential guests.

The ROH approach also benefits hotels in terms of efficient room management.

Reservation systems can allocate rooms based on demand and availability, resulting in improved customer satisfaction.

Additionally, the flexibility provided by ROH allows hotels to accommodate party movements or unforeseen events like the National Day Parade without disrupting the overall guest experience.

Considerations for disabled-friendly ROH rooms

When implementing the ROH strategy, hotels must consider the needs of disabled guests.

It is essential to strike a balance between revenue opportunities and providing accessible accommodations.

Hotels need to ensure compliance with accessibility standards and offer transparent information regarding the availability of disabled-friendly ROH rooms.

While the ROH strategy presents numerous benefits, there is a potential negative impact when it comes to overbooking.

Hotels need to manage their reservations responsibly to avoid exceeding the property’s capacity, especially in high-demand periods.

Implementing a flexible cancellation policy can help reduce the risk of overbooking and uphold customer satisfaction.

The ROH approach in the hospitality industry brings both benefits and challenges.

By implementing this strategy, hotels can tap into revenue opportunities, improve rental rates and business operations, and cater to a diverse range of guests.

However, it is crucial for hotels to balance revenue generation with responsible management and ensure the needs of all guests are met, including those with disabilities.

Implementation and Management

How to Implement ROH

In 2022, the country is looking forward to a vibrant year in terms of multiple events, particularly in the tourism industry.

One major event called “ROH” is set to take place throughout the year, attracting tourists from around the world.

This event aims to showcase the country’s cultural heritage, arts, and music through various performances and exhibitions.

To accommodate the influx of visitors, a new hotel is being constructed in a strategic location that offers easy access to the event venues.

The hotel is set to be completed and open to the general public in December 2021, just in time for the beginning of the ROH event.

By leveraging this event, the country aims to boost its tourism industry and promote its rich cultural traditions to a global audience.

The hotel’s prime location and its opening coincide with the start of the event will undoubtedly enhance the overall experience for tourists, providing them with a convenient and comfortable accommodation option.

With this exciting new addition, 2022 is anticipated to be an exceptional year for tourism, leaving a lasting impression on visitors and further establishing the country as a top destination for cultural travel.

A transient district refers to an area that is not permanent or fixed but instead changes or moves frequently.

This can be seen in various aspects, such as population or business activity.

For example, a neighborhood might experience a high turnover of residents, with people constantly moving in and out.

In terms of deducting or subtracting, this concept can be applied to various situations.

For instance, when calculating taxes, the government may deduct certain expenses to determine the taxable income.

Similarly, a business might deduct business expenses from its revenues to calculate their taxable profits.

When a policy or law remains in effect, it means that it continues to be valid or legally enforced.

For instance, a regulation might remain in effect until a new one is implemented or until it is repealed by a higher authority.

When comparing the number of something, it involves analyzing or examining how one quantity or group measures up against another.

This can be relevant in various contexts, such as comparing the number of people who attended a convention in one year to the number of attendees in another year.

If something is situated, it means that it is located or positioned in a particular place.

This could describe the physical location of a building, for example, compared to the number.

In the U.S., the end of the fifth year marks the completion of a term of five years.

This is significant because it signifies the completion of a specific period, such as a presidential term.

In the U.S. political system, for example, a president can serve a maximum of two terms, equivalent to eight years.

Therefore, the end of the fifth year would mark the halfway point for a president serving their first term.

The number 72 is often used in finance to represent the time it takes for an investment to double based on a specific interest rate.

For example, if an investment has an annual interest rate of 9%, it would take approximately 8 years for the investment amount to double.

The number 72 is a useful rule of thumb for quickly estimating the doubling time.

Thus, when considering financial planning or investment decisions, the number 72 can be a useful tool.

In terms of governance, the U.S. Constitution is made up of 72 pages.

These pages constitute the core legal framework and principles upon which the U.S. political system is based.

They outline the structure and powers of the government, as well as individual rights and freedoms.

The U.S. Constitution has served as a model for many other countries when drafting their own constitutions, highlighting the influence and significance of this document on a global scale.

Understanding the concept of ROH

Implementing and managing the concept of Remaining Occupancy Hold (ROH) is crucial for hotels and accommodation providers in Singapore.

ROH refers to a room type that is not specified at the time of reservation, allowing the property to assign any available room to the guest upon arrival.

This concept is aimed at maximizing occupancy rates and revenue for the property.

To establish an effective ROH policy, transparency and responsible implementation are key.

Accommodation providers need to communicate the ROH policy clearly to guests and ensure compliance with industry standards.

Having a module in place to verify and track ROH rooms is important for accurate reporting and management.

The terms and conditions of the ROH agreement should be clearly stated and implemented consistently.

A common practice is to assign a percentage of rooms as ROH based on historical data and the level of transmission increase.

This allows the property to maintain flexibility while maximizing occupancy rates.

One example of successful ROH implementation is the case of Malayan Airways.

By offering ROH rooms to guests who made reservations without specifying a room type, they were able to effectively manage room availability and increase occupancy rates.

This resulted in higher revenue for the airline.

Key factors in determining ROH eligibility

When implementing the ROH concept, several key factors need to be considered to determine eligibility.

Effective communication with guests is essential to inform them about the ROH policy and its benefits.

This can be done through various channels such as the property’s website, reservation system, and on-site information.

Having a comprehensive management system in place is crucial for smooth implementation.

The reservation system should be capable of handling ROH bookings and ensuring accurate room assignments upon check-in.

Clear agreements with guests regarding the ROH policy should be made during the booking process.

In light of the SARS-CoV-2 transmission, some properties have implemented stricter criteria for ROH eligibility.

For example, the Uri Party hotel chain has only assigned ROH rooms to guests who have a low-risk profile and have not traveled from high-risk areas.

This helps to minimize the risk of transmission and ensure a safe environment for all guests.

Compliance with industry standards and regulations

Compliance with industry standards and regulations is crucial when implementing ROH.

While exceptions can be managed, transparency and responsible practices should be maintained.

Proper communication with guests regarding cancellation policies and any changes to the reservation due to ROH assignments is necessary to avoid misunderstandings.

Flexibility in managing ROH rooms is essential.

The property should have a system in place to handle cancellations and last-minute changes in room assignments.

Adhering to industry regulations, such as refund policies, helps to ensure customer satisfaction and maintain a good reputation.

An example of compliance with industry standards is observed during events like Art Stage Singapore, where hotels may experience a sudden increase in demand for accommodation.

In such cases, properties often utilize the ROH concept to manage the influx of reservations and ensure maximum occupancy.

In summary, effective implementation and management of ROH in Singapore’s accommodation industry require clear policies, responsible practices, and compliance with industry standards.

By adopting the ROH concept, properties can optimize their occupancy rates, increase revenue, and provide flexibility to guests.

Best Practices for Using ROH – Run of House

Best Practices for Using ROH

When it comes to managing the remaining occupancy hold (ROH) in Singapore, it’s important for hoteliers to have effective strategies in place.

ROH refers to a room type that is not assigned a specific room number until check-in.

This flexibility allows hotels to optimize their revenue and ensure maximum occupancy.

Here are some best practices to consider when using ROH.

Comprised of multiple buildings, the hotel is located in a prime spot, offering guests a luxurious and convenient stay.

With its strategic location in the heart of the city, the hotel provides easy access to popular attractions and key business districts.

The multiple buildings that make up the hotel offer a diverse range of rooms and suites, catering to different needs and preferences.

From spacious, well-appointed rooms to elegant, high-end suites, guests can choose a comfortable and stylish accommodation option that suits their requirements.

All rooms are thoughtfully designed and equipped with modern amenities, ensuring a comfortable and enjoyable stay for every guest.

Additionally, the hotel features various facilities such as a fitness center, spa, and multiple dining options, where guests can unwind and indulge in exquisite cuisine.

With its ideal location and diverse offerings, the hotel provides a memorable experience for all visitors.

Strategies for effectively managing ROH

Transparency is key when it comes to managing ROH.

Clearly communicate to guests that they may be assigned any available room upon check-in to avoid any confusion or dissatisfaction.

Implement a solid management system that tracks ROH reservations and ensures a smooth transmission of information between departments.

To reduce transmission rate errors and maximize guest satisfaction, it’s important to have a well-structured reservation agreement that outlines the ROH policy.

Train your staff on best practices for handling ROH reservations and ensure they have the necessary information to assist guests effectively.

Maximizing revenue through ROH utilization

Flexibility is a crucial aspect of ROH utilization.

Manage exceptions carefully and ensure transparency with guests.

If you have the capacity, consider offering guaranteed early check-in options to guests who book ROH.

This can attract more bookings and increase overall occupancy.

By offering flexible options to guests, such as managing requests for specific room types or preferences, you can optimize revenue.

However, it’s important to balance flexibility with responsible revenue management and compliance.

Considerations for running a successful ROH operation

Running a successful ROH operation requires responsibility and compliance with existing regulations.

Implement a robust management system that can handle the complexities of ROH reservations.

Train your staff on best practices for managing ROH and ensure they understand their responsibilities in maintaining guest satisfaction.

Consider offering guaranteed late check-out options to guests who book ROH.

This not only adds value to their stay but also helps optimize occupancy and revenue.

However, make sure you have sufficient time to prepare the room for the next guest.

In conclusion, effective management of ROH can greatly contribute to a hotel’s revenue and occupancy rates.

By implementing best practices such as transparency, flexibility, and responsibility, hoteliers can run a successful ROH operation and ensure guest satisfaction.

Alternatives to ROH

Alternatives to ROH

In the bustling city-state of Singapore, the concept of Remaining Occupancy Hold (ROH) is a familiar one in the hospitality industry.

However, with changing times and evolving guest preferences, it may be time to explore alternative options to maximize your revenue and cater to a wider range of needs.

Here are a few alternatives to consider:


One alternative to ROH is implementing a waitlist system.

This allows guests to make reservations for specific room types that are currently unavailable but they are willing to wait for.

By collecting information such as desired dates, number of nights, and preferred room type, you can manage availability and occupancy rates more efficiently.

When a room becomes available, you can offer it to guests on the waitlist, ensuring a higher level of satisfaction and occupancy.

Guaranteed early check-in

Another alternative is to offer guaranteed early check-in to guests who require immediate access to a room upon arrival.

This can be particularly useful for guests who have traveled long distances or have early morning flights.

By managing your room inventory and utilizing a robust reservation and room management system, you can allocate specific rooms for early check-ins, ensuring a seamless guest experience.

This alternative can be a selling point for your property and attract guests who value convenience and flexibility.

Guaranteed late check-out

Offering guaranteed late check-out is another alternative to consider.

Many guests appreciate the chance to extend their stay and make the most of their time at your property without feeling rushed.

By accommodating late check-outs and managing your inventory effectively, you can enhance the quality of your guests’ stay and leave a positive impression.

This alternative can be especially appealing to leisure travelers who want to make the most of their vacation and business travelers who have late flights or meetings.

It is important to note that while these alternatives can provide added flexibility and convenience, they should be implemented in a way that aligns with your property’s policies and operational capabilities.

Proper communication and clear agreements with guests are essential to avoid any misunderstandings or disruptions.

By exploring and implementing alternatives to ROH, you can enhance the overall guest experience, increase revenue potential, and differentiate your property from competitors.

Remember, it’s crucial to regularly review and adapt your strategies to meet the changing demands of your target market.


Summary of the ROH in Singapore

In conclusion, the Remaining Occupancy Hold (ROH) in Singapore is an important aspect of the property market.

It is a mechanism that ensures the smooth transition of ownership from the seller to the buyer.

The ROH period allows the buyer to verify the property’s condition and conduct necessary inspections before finalizing the purchase.

During this period, the seller is obligated to hold the property and refrain from selling to other parties.

Comprise of ROH obligation, payment, verification, and prompt provision.

The ROH obligation refers to the seller’s responsibility to hold the property during the ROH period and not enter into any new agreements for its sale.

This ensures that the buyer has ample time to conduct due diligence and make an informed decision.

Payment during the ROH period is an essential aspect of the process.

The buyer is usually required to pay a deposit or an option fee as a show of commitment.

This provides assurance to the seller that the buyer is serious about the purchase.

Verification is another key component of the ROH process.

The buyer has the right to inspect the property during the ROH period to ensure that it meets their expectations.

This includes conducting surveys, obtaining professional advice, and checking for any defects or issues that may affect the value or condition of the property.

Prompt provision of necessary documents and information is crucial for a smooth ROH process.

The seller should provide all relevant paperwork, including title deeds, property information, permits, and certificates.

This allows the buyer to make informed decisions and minimizes any delays or complications.

Overall, the ROH in Singapore provides a framework that protects the interests of both buyers and sellers in the property market.

It allows for thorough due diligence, ensuring transparency and peace of mind for all parties involved in the transaction.

By understanding and complying with the ROH obligations, buyers and sellers can navigate the property market with confidence.

Frequently Asked Questions

What is Remaining Occupancy Hold (ROH)?

Remaining Occupancy Hold (ROH) is a term used in hotel management to refer to the number of rooms that are still available for booking. 

How is the Remaining Occupancy Hold (ROH) calculated?

The Remaining Occupancy Hold (ROH) is calculated by subtracting the number of occupied rooms from the total number of rooms available in the hotel. 

Is the Remaining Occupancy Hold (ROH) the same as the number of rooms available?

Yes, the Remaining Occupancy Hold (ROH) represents the number of rooms that are still available for booking. 

Can I customize my ROH to limit the number of rooms available?

Yes, you can customize your ROH to limit the number of rooms available for booking. This can be done to manage occupancy levels or accommodate specific requests. 

What happens if I cancel my booking after the ROH has been set?

If you cancel your booking after the ROH has been set, the number of available rooms will increase by the number of canceled rooms. The ROH will be adjusted accordingly. 

When does the ROH for a specific day become available?

The ROH for a specific day becomes available as soon as the hotel management updates the availability status of rooms for that day. 

Can the ROH change throughout the day?

Yes, the ROH can change throughout the day depending on the availability of rooms. As rooms get occupied or canceled, the ROH will be adjusted accordingly. 

Is the ROH used in yield management strategies?

Yes, the ROH is an important factor used in yield management strategies to optimize room revenue and maximize occupancy rates. 

What happens if the ROH reaches zero?

If the ROH reaches zero, it means that all rooms in the hotel are occupied and no more bookings can be made until rooms become available. 

Can the ROH be different for different room types?

Yes, the ROH can be different for different room types. The availability of each room type is managed separately in terms of ROH. 

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