The WPJ
U.S. Hotel Market Shows Sign of Continued Strengthening

U.S. Hotel Market Shows Sign of Continued Strengthening

Vacation News » Vacation & Leisure Real Estate Edition | By Michael Gerrity | July 12, 2010 8:00 AM ET



vacation-1.jpg According to data from Smith Travel Research, the U.S. hotel industry reported positive results in all three key performance measurements during the first week of July 2010.

In year-over-year measurements, the industry's occupancy increased 10.0 percent to 63.4 percent. Average daily rate rose 1.3 percent to US$96.65. Revenue per available room jumped 11.5 percent to US$61.32.

With a boost from the beginning of a holiday weekend, 14 of the Top 25 Markets reported double-digit occupancy increases. Minneapolis-St. Paul, Minnesota-Wisconsin led the increases, rising 36.4 percent to 64.3 percent, followed by Atlanta, Georgia (+35.7 percent to 68.6 percent), and Detroit, Michigan (+30.3 percent to 57.1 percent). Three of the top markets reported occupancy decreases: Miami-Hialeah, Florida (-10.6 percent to 59.5 percent); Tampa-St. Petersburg, Florida (-3.7 percent to 50.3 percent); and San Francisco/San Mateo, California (-2.3 percent to 74.4 percent).

New York, New York, posted the largest ADR increase, rising 17.6 percent to US$209.38, followed by Denver, Colorado, with a 13.6-percent increase to US$99.72. Tampa-St. Petersburg dropped 4.8 percent in ADR to US$84.81, reporting the largest decrease in that metric, followed by Miami-Hialeah with a 3.5-percent decrease to US$118.12.

Three markets experienced RevPAR increases of more than 40 percent: Minneapolis-St. Paul (+45.2 percent to US$57.79); Atlanta (+42.5 percent to US$55.83); and Denver (+41.6 percent to US$85.03). Two markets reported RevPAR decreases for the week: Miami-Hialeah (-13.8 percent to US$70.29) and San Francisco/San Mateo (-3.9 percent to US$90.10).

All seven of the Chain Scale segments posted occupancy and RevPAR increases. The Upscale segment reported the largest occupancy increase, rising 15.7 percent to 67.5 percent, followed by the Midscale without Food and Beverage segment which reported a 12.8-percent increase to 64.3 percent. The Upscale segment rose 18.8 percent in RevPAR to US$71.43, posting the largest increase in that metric.




Real Estate Listings Showcase

This website uses cookies to improve user experience. By using our website you consent in accordance with our Cookie Policy. Read More