U.S. Hotel Sector Posts Positive Gains in Early March

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According to STR, the U.S. hotel industry experienced increases in all three key performance metrics during the week ending March 3, 2012.

In year-over-year comparisons for the week, occupancy was up 2.3 percent to 59.9 percent, average daily rate increased 3.5 percent to US$102.77 and revenue per available room was up 5.8 percent to US$61.56.

Among the Top 25 Markets, Denver, Colorado, reported the only double-digit occupancy increase, up 10.0 percent to 65.0 percent, followed by Houston, Texas, with a 9.2-percent increase to 71.5 percent. Phoenix, Arizona, fell 3.3 percent in occupancy to 77.6 percent, posting the largest decrease in that metric, followed by Washington, D.C., with an occupancy decrease of 1.6 percent to 63.5 percent.

San Francisco/San Mateo, California, achieved the largest ADR increase, rising 14.5 percent to US$166.70, followed by Boston, Massachusetts (+8.3 percent to US$136.61), and Oahu Island, Hawaii (+8.0 percent to US$170.33). New Orleans, Louisiana (-12.2 percent to US$139.42), and Washington, D.C. (-7.4 percent to US$145.85), reported the only ADR decreases for the week.

Five markets experienced double-digit RevPAR increases: San Francisco/San Mateo (+18.3 percent to US$126.21); Boston (+14.0 percent to US$89.10); Denver (+12.6 percent to US$62.33); Houston (+11.7 percent to US$69.83); and Detroit, Michigan (+10.4 percent to US$44.93). Washington, D.C., posted the largest RevPAR decrease, falling 8.9 percent to US$92.66, followed by New Orleans with a 7.0-percent decrease to US$109.64.