According to data compiled by STR, the U.S.
hotel industry posted declines in all three key performance
measurements during May 2009.
In year-over-year measurements, the U.S. hotel
industry's occupancy fell 11.8% to end the month of May 2009 at
55.7%. The average daily rate dropped 9.8% to finish the month at
US$97.03. Revenue per available room for the month decreased 20.4%
to finish at US$54.05.
"Again in May, industry results were
disappointing as they continued the downward spiral seen each
month so far this year," said Mark Lomanno, president of STR. "While
demand has not gotten any worse over the past several months, we
are becoming increasingly alarmed at the accelerating decline in
average room rates. Despite the dismal results throughout the
first half of the year, we continue to expect to see better
numbers this summer, at least compared to the dreary results to
Highlights from the Top 25 Markets in
the U.S. include:
None of the Top 25 Markets reported increases in any of the three
- Oahu Island, Hawaii, was the only market to report
an occupancy decrease of less than 5%, falling 4.9% to 69.2%.
- Detroit, Michigan, led the occupancy
decreases, falling 20.2% to 46.7%.
Other markets to
report occupancy decreases of 15% or more include: New
Orleans, Louisiana (-16.8% to 57%); Houston, Texas
(-15.7% to 57%); Chicago, Illinois (-15.6%
to 59%); Phoenix, Arizona (-15.5% to 49.5%); Dallas, Texas (-15% to 49.1%).
Nashville, Tennessee, reported the smallest ADR decrease, dropping
4.1% to US$90.69.
- New York was the only
market to report a drop in ADR of more than 20%, falling
29.4% to US$201.13.
- Norfolk-Virginia Beach, Virginia,
reported a 13.6%decrease in RevPAR to US$48.11, the
smallest among the top 25 markets.
- Six markets reported RevPAR decreases of more than 25%: New York (-35.7%
to US$159.82); Chicago (-29.5% to US$70.38); Phoenix (-28.6% to US$48.41); Detroit (-27.9% to US$36.72); New
Orleans (-27.2% to US$63.19); and San Diego, California
(-26.1% to US$77.49).
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