Palau Hotel
General information
LocationKoror, Palau
Opening1982
Other information
Number of rooms54
Website
palauhotel.net

Palau Hotel is a hotel located in Koror, Palau. Opened in 1982, it is situated in the center of Koror and caters primarily to international tourists. During the COVID-19 pandemic, the hotel received international media attention as a case study of the economic impact of border closures on Palau's tourism industry.

History

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Palau Hotel was established in 1982, making it one of the longer-running accommodation providers in Koror. It operates as a privately owned business with approximately 54 rooms.

The hotel gained specific prominence in international reporting during 2020 and 2021. As Palau implemented strict border closures to maintain a "COVID-free" status, the hotel became a focal point for reports by the BBC and South China Morning Post regarding the collapse of international tourism. Brian Lee, the hotel's manager and co-owner, was frequently interviewed by these outlets to illustrate the severe economic trade-off of the country's health policies.[1][2]

Impact of COVID-19

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Prior to the pandemic, the hotel reported occupancy rates between 70% and 80%. However, following the border closures in early 2020, occupancy dropped to near zero.[3]

The BBC highlighted the hotel in a feature regarding countries that successfully kept COVID-19 out, noting that despite the lack of revenue, the hotel management decided to retain its staff to perform maintenance and renovation work rather than laying them off.[1] This decision was cited in media reports as an example of the challenges faced by local businesses in tourism-dependent Pacific island nations.[2]

References

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  1. ^ a b "Ten countries kept out Covid-19. But did they win?". BBC News. 2020-08-19. Retrieved 2025-12-22.
  2. ^ a b "Palau struggles to survive as borders close during Covid-19". South China Morning Post. 2020-08-26. Retrieved 2025-12-22.
  3. ^ Lee, Brian (2020-08-07). "I Run a Hotel in a Country That Kept Out Covid-19". Newsweek (Opinion). Retrieved 2025-12-22. {{cite news}}: Unknown parameter |note= ignored (help)
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Category:Hotels in Palau Category:Hotel buildings completed in 1982 Category:Buildings and structures in Koror