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U.S. Hotel Industry Performance in July 2009

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According to data from STR, the US hotel industry’s AOR, in year-over-year measurements, fell 7.3% to end the month at 64.1%. ADR dropped 9.1% to finish the month at US$97.18. RevPAR for the month decreased 15.7% to finish at US$62.34.

Among the top 25 markets, New Orleans, Louisiana, was the only market to report increases in two of the three key metrics. The market increased 2.7% in occupancy to 64.6% and was up 2.2% in RevPAR to US$66.49.

Only two of the top 25 markets experienced double-digit occupancy declines. Detroit, Michigan, fell 19.4% to 51.4% while Houston, Texas, dropped 15.1% to 55.2%.

New Orleans had virtually flat ADR change for the month, dropping 0.5% to US$102.85. Norfolk-Virginia Beach, Virginia, also reported a small ADR decrease, down 5.1% to US$105.59.

 New York reported the largest fall in ADR with a 27.3% decrease to US$182.70.

 Two other markets experienced ADR decreases of more than 15%: San Francisco/San Mateo, California (-17.2% to US$128.78) and Oahu Island, Hawaii (-15.6% to US$149.11).

Norfolk-Virginia Beach was the only market to post a single-digit RevPAR decrease, down 9.1% to US$77.00. Six markets experienced RevPAR declines of more than 20%: New York (-32.1% to US$147.30); Detroit (-27.4% to US$38.99); Houston (-24.1% to US$47.22); Los Angeles-Long Beach, California (-21.7% to US$81.10); Denver, Colorado (-21.5% to US$64.50); and San Francisco/San Mateo (-20.3% to US$106.03).

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