June 13th, 2011
Econintersect: Hotel occupancy in various markets around the U.S. are both up and own, but the national average occupancy improved for the week ending June 4 by 2.5% Y-o-Y. Average daily rate increased by 2.7%. The largest occupancy increase was in Dallas (13.9%) and the biggest decrease was for Phidelphia (-7.0%). Room rates increased the most in Nashville (12.6%) and fell the most for San Francisco. Follow up:
Follow up:From Hotel News Now:
Among the Top 25 Markets, Dallas, Texas, reported the largest occupancy increase, rising 13.9 percent to 58.1 percent, followed by Detroit, Michigan, with an 11.4-percent increase to 56.6 percent. Philadelphia, Pennsylvania-New Jersey, fell 7.0 percent in occupancy to 60.4 percent, posting the largest decrease in that metric, followed by San Francisco/San Mateo, California (-4.6 percent to 73.9 percent), and New York, New York (-3.3 percent to 77.9 percent).
Four markets experienced ADR increases of more than 10 percent: Nashville, Tennessee (+12.6 percent to US$89.67); Boston, Massachusetts (+12.4 percent to US$155.86); Denver, Colorado (+11.3 percent to US$95.29); and Oahu Island, Hawaii (+10.2 percent to US$160.20). San Francisco/San Mateo (-5.3 percent to US$133.15) and Atlanta, Georgia (-3.2 percent to US$73.55), reported the largest ADR decreases for the week.
Six top markets achieved RevPAR increases of more than 15 percent: Boston (+23.0 percent to US$116.39); Denver (+21.4 percent to US$61.35); Dallas (+16.6 percent to US$44.46); Miami-Hialeah, Florida (+16.2 percent to US$93.76); Minneapolis-St. Paul, Minnesota-Wisconsin (+15.7 percent to US$53.95); and New Orleans, Louisiana (+15.1 percent to US$59.19). San Francisco/San Mateo fell 9.7 percent in RevPAR to US$98.39, reporting the largest decrease in that metric, followed by Philadelphia with a 5.6-percent decrease to US$64.79.
Note: RevPAR is Revenue Per Available Room.
Calculated Risk has the following graph that shows how hotel room occupancy has varied over the past decade:
A worrisome fact: Just when the strong summer season should be starting the data is looking softer in the latest week. Is this a harbinger of a slow summer or just a one week anomaly?