The U.S. hotel industry reported mixed year-over-year results in the three key performance metrics during the week of 23-29 February 2020, according to data from STR.
In comparison with the week of 24 February through 2 March 2019, the industry recorded the following:
- Occupancy: -1.7% to 64.1%
- Average daily rate (ADR): +1.6% to US$129.67
- Revenue per available room (RevPAR): -0.2% to US$83.16
Occupancy and ADR declines for the week were most pronounced on the weekend (28-29 February). Also of note, U.S. airport hotels reported a 3.8% decrease in occupancy for the week.
“We continue to monitor performance in proximity to U.S. airports for early indicators of a coronavirus impact,” said Jan Freitag, STR’s senior VP of lodging insights. “What stands out are the demand patterns in airport markets that see a greater volume of international traffic. We saw declines in airport markets like Newark, Chicago, Denver, San Francisco and New York, while markets with a lot of domestic traffic like Orlando, Dallas and Atlanta were actually up for the week. The coming weeks will be important to monitor for more defined trends, especially with increased coverage around the outbreak and potential event schedule adjustments.”
Among the Top 25 Markets, San Francisco/San Mateo, California, posted the week’s largest RevPAR gain (+28.1% to US$240.24), driven by the highest rise in ADR (+28.6% to US$305.10). Occupancy in the market was down slightly (-0.4% to 78.7%).
“San Francisco is interesting because group occupancy jumped year over year while transient occupancy was down by double digits,” Freitag said. “At the same time, ADR was up significantly in each segment. The thought there is that those already committed to stay in the market for event-related travel went through with their trip, while leisure travelers perhaps altered their plans.”
Aligned with the aforementioned increased airport hotel demand, Orlando, Florida, experienced the highest rise in occupancy (+6.7% to 86.0%) and the second-largest jump in RevPAR (+11.8% to US$126.03).
Oahu Island, Hawaii, saw the only other double-digit increase in RevPAR (+10.8% to US$193.28), due primarily to the second-largest gain in ADR (+7.5% to US$234.47).
Of note, Los Angeles/Long Beach, California, registered a 2.2% lift in occupancy to 79.2%.
Minneapolis/St. Paul, Minnesota-Wisconsin, reported the steepest decrease in occupancy (-8.2% to 56.4%).
New Orleans, Louisiana, recorded the only double-digit drop in ADR (-12.7% to US$174.59).
Chicago, Illinois, registered the largest decline in RevPAR (-12.0% to US$61.71).
Of note, New York, New York, saw a 0.8% dip in occupancy to 77.1%.
Additional Performance Data
STR’s world-leading hotel performance sample comprises 68,000 properties and 9.1 million rooms around the globe. Members of the media should refer to the contacts listed below for additional data requests.
About STR
STR provides premium data benchmarking, analytics and marketplace insights for global hospitality sectors. Founded in 1985, STR maintains a presence in 15 countries with a corporate North American headquarters in Hendersonville, Tennessee, an international headquarters in London, and an Asia Pacific headquarters in Singapore. STR was acquired in October 2019 by CoStar Group, Inc. (NASDAQ: CSGP), the leading provider of commercial real estate information, analytics and online marketplaces. For more information, please visit str.com and costargroup.com.
North America Media Contact:
Haley Luther
Communications Coordinator
hluther@str.com
+1 (615) 824-8664 ext. 3500
General Media Inbox:
media@str.com
0 Comments