by Calculated Risk on 10/09/2014 03:10:00 PM

From HotelNewsNow.com: STR: US results for week ending 4 October

The U.S. hotel industry recorded positive results in the three key performance measurements during the week of 28 September through 4 October 2014, according to data from STR, Inc.

In year-over-year measurements, the industry’s occupancy rose 2.8 percent to 66.5 percent. Average daily rate increased 3.7 percent to finish the week at US$115.93. Revenue per available room for the week was up 6.6 percent to finish at US$77.04.
emphasis added

Note: ADR: Average Daily Rate, RevPAR: Revenue per Available Room.

The following graph shows the seasonal pattern for the hotel occupancy rate using the four week average.

There is always a dip in occupancy after the summer (less leisure travel), and then more business travel in the Fall.

Click on graph for larger image.

The red line is for 2014, blue is the median, and black is for 2009 - the worst year since the Great Depression for hotels.  Purple is for 2000.

The 4-week average of the occupancy rate is solidly above the median for 2000-2007, and is at about the level as for the same week in 2000 (the previous high). 

Right now it looks like 2014 will be the best year since 2000 for hotels.   Since it takes some time to plan and build hotels, I expect 2015 will be a record year for hotel occupancy.

Data Source: Smith Travel Research, Courtesy of HotelNewsNow.com