HENDERSONVILLE, Tennessee—The U.S. hotel industry reported increases in all three key performance metrics during the week of 24-30 October 2010, according to data from STR.
In year-over-year comparisons, occupancy increased 11.7 percent to 57.9 percent, average daily rate was up 0.7 percent to US$99.84, and revenue per available room ended the week up 12.5 percent to US$57.76.
Among the Chain Scale segment the Upper Upscale segment showed some softness in weekly performance. The segment was the only one to experience a decrease in any of the three performance metrics, falling 0.2 percent to US$151.76 in ADR. The segment also reported the smallest increases in occupancy (+8.9 percent to 71.3 percent) and RevPAR (+8.7 percent to US$108.16) among the Chain Scale segments.
“One week doesn’t make a trend, but there is mild concern that the pre-negotiated rates and comps from last year are catching up with group and convention hotels,” said Brad Garner, STR’s COO.”It’s certainly something we’ll be monitoring in the coming weeks and its potential impact on industry wide ADRs moving forward.”
Among the Top 25 Markets, Detroit, Michigan, reported the largest occupancy increase, rising 24.6 percent to 58.4 percent, followed by Orlando, Florida, with a 24.2-percent increase to 63.0 percent. Three markets posted occupancy decreases: Anaheim-Santa Ana, California (-3.8 percent to 63.0 percent); San Diego, California (-3.8 percent to 61.1 percent); and New York, New York (-0.8 percent to 84.5 percent).
Washington, D.C., rose 8.3 percent in ADR to US$166.93, reporting the largest increase in that metric, followed by Minneapolis-St. Paul (+6.9 percent to US$99.00) and Boston, Massachusetts (+6.6 percent to US$168.48). San Diego, California, posted the only double-digit ADR decrease, falling 11.4 percent to US$124.63.
Washington, D.C., increased 33.5 percent in RevPAR to US$136.77, experiencing the largest increase in that metric, followed by Minneapolis-St. Paul with a 29.1-percent increase to US$64.57. Two markets posted RevPAR decreases of more than 5 percent: San Diego (-14.8 percent to US$76.16) and Philadelphia, Pennsylvania-New Jersey (-6.3 percent US$74.53.
View U.S. hotel review for week ending 30 October.
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STR provides clients—including hotel operators, developers, financiers, analysts and suppliers to the hotel industry—access to hotel research with regular and custom reports covering North America, Mexico and Caribbean. STR provides a single source of global hotel data covering daily and monthly performance data, forecasts, annual profitability, pipeline and census information. STR founded the STR family of companies and is proudly associated with STR Global, RRC Associates, STR Analytics, and HotelNewsNow.com. For more information, please visit www.str.com.
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