The weekly hotel performance numbers for the United States and Canada have been released by STR.
U.S.: Overall, in year-over-year measurements, the industry’s occupancy increased 3.9 percent to 62.5 percent, ADR rose 0.4 percent to US$94.69, and RevPAR jumped 4.3 percent to US$59.17 for the week ending 10 July, according to STR data.
The economy segment reported the largest occupancy increase among the chain-scale segments. The segment’s occupancy rose 8.7 percent to 61.2 percent, average daily rate was down 1.9 percent to US$54.14, and revenue per available room increased 6.7 percent to US$33.12.
• Read “STR: Economy segment leads occupancy increases.”
Canada: The Canadian hotel industry reported mostly positive results in the three key performance measurements during the week of 4-10 July 2010, according to data released by STR.
In year-over-year measurements, the Canadian hotel industry’s occupancy increased 5.1 percent to 69.9 percent. Average daily rate ended the week virtually flat with a 0.8-percent decrease to CAD$129.15. Revenue per available room for the week rose 4.3 percent to CAD$90.33.
• Read “STR: Canada hotel results for week ending 10 July.”
The advance figure for seasonally adjusted initial unemployment claims in the United States dropped by 29,000 to 429,000 for the week ending 10 July, according to the U.S. Department of Labor.
The four-week moving average also declined by 11,750 to 455,250. The advance seasonally adjusted insured unemployment rate for the week ending 3 July was 3.7 percent, up 0.2 percentage point.
Bangkok-based Ativa Hospitality is optimistic about the company’s growth prospects in Asia, according to a report by HotelNewsNow.com’s Jeff Higley.
The Bangkok-based boutique hotel management company has seven hotels in its portfolio now, which it plans to double, and—with its joint-venture partner Nadathur Group—will look to invest in hotels.
“We will always be a small company,” Black said during a telephone interview from his office in central Bangkok just blocks away from where the riots occurred. “You get to the number 12 and that’s a critical inflection point. At that point you have to make a decision to go well beyond that number. Right now we’re strictly third-party (managers), but we’ll look at putting equity in certain properties.”
• Read “Ativa eyes controlled growth.”
Hotel foreclosures and defaults are continuing to mount in California, according to a study by Atlas Hospitality Group.
A total of 478 hotels are in default or were foreclosed on during the second quarter, which represents an 18-percent increase from the first quarter and is also up a staggering 132 percent year-over-year.
Atlas estimates the actual number of distressed California properties is higher, with possibly more than 1,000 properties operating under some form of forbearance agreement.
• Read “Atlas: Q2 California hotel defaults, foreclosures rise.”
Hotel earnings season is getting off to a good start. Marriott International reported its net income during the second quarter jumped by 42 percent. Business and leisure stays are increasing and room rates increased for the first time in almost two years, chairman and CEO J.W. Marriott said in a news release.
And the news gets better for Marriott. The company expects full-year 2010 comparable system-wide RevPAR to increase by 4 percent to 6 percent worldwide on a constant dollar basis. Marriott anticipates opening more than 30,000 rooms during 2010, the company added.
• Read “Marriott net income rises 42 percent.”
Compiled by Shawn A. Turner.