U.S. hotel industry positive in last week of March
STR analysts note that performance was lifted for the second week in a row by an Easter calendar shift (27 March 2016).
In comparison with the week of 27 March through 2 April 2016, the industry reported the following in year-over-year comparisons:
- Occupancy: +2.4% to 68.5%
- Average daily rate (ADR): +2.9% to $126.02
- Revenue per available room (RevPAR): +5.3% to $86.27
Among the Top 25 Markets, Detroit, Michigan, reported the week’s largest year-over-year increases in occupancy (+18.1% to 66.6%) and RevPAR (+31.2% to $65.83). ADR in the market rose 11.0% to $98.79.
Five additional markets saw RevPAR growth of more than 20.0% for the week: New Orleans, Louisiana (+26.0% to $132.09); Seattle, Washington (+24.9% to $110.64); NCAA Final Four host Phoenix, Arizona (+24.3% to $162.10); Philadelphia, Pennsylvania-New Jersey (+23.2% to $94.80); and Washington, D.C.-Maryland-Virginia (+20.5% to $155.09).
Phoenix posted the largest jump in ADR (+23.6% to $195.89). Overall, seven Top 25 Markets reported a double-digit lift in the metric.
After Detroit, three other aforementioned markets experienced a double-digit increase in occupancy: Seattle (+12.7% to 78.5%), Philadelphia (+11.4% to 72.6%) and New Orleans (+10.9% to 79.4%).
Houston, Texas, reported the steepest decline in RevPAR (-24.5% to $63.61) due to the only double-digit decrease in ADR (-17.2% to $103.20) and the second-largest drop in occupancy (-8.8% to 61.6%).
Norfolk/Virginia Beach, Virginia, saw the largest decrease in occupancy (-9.7% to 59.7%) and the only other double-digit decline in RevPAR (-18.3% to $50.87). ■