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Friday, October 27, 2017

Hotel Occupancy Rate increases YoY

by Calculated Risk on 10/27/2017 02:37:00 PM

From STR: US hotel results for week ending 21 October

The U.S. hotel industry reported positive year-over-year results in the three key performance metrics during the week of 15-21 October 2017, according to data from STR.

In comparison with the week of 16-22 October 2016, the industry recorded the following:

Occupancy: +0.9% to 72.8%
• Average daily rate (ADR): +1.7% to US$131.58
• Revenue per available room (RevPAR): +2.6% to US$95.82

Among the Top 25 Markets, Houston, Texas, reported the largest year-over-year increases in occupancy (+23.7% to 86.6%) and RevPAR (+25.9% to US$103.34). Post-Hurricane Harvey demand continues to drive performance levels in the market.
emphasis added
The following graph shows the seasonal pattern for the hotel occupancy rate using the four week average.

Hotel Occupancy RateThe red line is for 2017, dash light blue is 2016, dashed orange is 2015 (best year on record), blue is the median, and black is for 2009 (the worst year since the Great Depression for hotels).

Currently the occupancy rate, to date, is ahead of last year, and tied with the record year in 2015.  The hurricanes will probably push the annual occupancy rate to a new record in 2017.

Data Source: STR, Courtesy of