Invincible Investment's (TYO:8963) domestic hotel portfolio gross revenue rose 3.9% to 8.24 billion in February, according to a Tokyo bourse filing on Wednesday.

The REIT's February revenue Per Available Room (RevPAR) increased 2.5% year-on-year to 11,770 yen, while the occupancy rate gained 1.1 points to 86.3% and the average daily rate (ADR) increased 1.1% to 13,632 yen.

Despite a decline in Chinese inbound tourists due to strained Japan-China relations, strong demand from other international visitors and domestic travelers helped sustain performance, with total visitor arrivals to Japan reaching a record 3.46 million for the month.

The REIT forecasts March RevPAR to be approximately 8.5% higher than the same month last year, with no meaningful impact yet from Middle East tensions.

For the Cayman Islands hotels, RevPAR rose 8.5% to $604, with a higher occupancy of 81.8%, while ADR edged up to $738.

Gross revenue for the Cayman properties increased 11% year-on-year to $13.2 million, supported by strong room and non-room revenue growth.