According to data from STR, the U.S. hotel
industry’s occupancy (in year-over-year measurements) fell 9.7% to
end the month at 61.3%. The ADR dropped 9.9% to finish the month
at US$96.77 while RevPAR for the month decreased 18.6% to finish
Through the first six months of 2009,
the industry experienced decreases in all three key
metrics in year-over-year comparisons. Occupancy fell
10.9% to 54.6%, ADR decreased 8.7% to US$98.66, and RevPAR fell 18.7% to US$53.87.
“While we’re still not seeing any bright light at the end of
the tunnel, a few occasional flickers have begun to appear
especially as it relates to lodging demand,” said Mark Lomanno,
president of STR. “Even though June demand was still down
considerably from last year, the level of decline was the best so
far in 2009. That trend has continued through the first half of
July, and we’re hopeful that it will continue for the remainder of
the summer. However, the percentage declines in average daily room rates
continue to be at all time lows.”
Highlights from the Top
25 Markets include (in year-over-year comparisons):
• Washington, D.C., was virtually flat in
occupancy, decreasing 0.8% to 76.6%.
• Four markets reported
occupancy declines of more than 15%: Minneapolis-St. Paul,
Minnesota-Wisconsin (-17.1% to 61.6%); Houston, Texas (-16.3% to
55.7%); Phoenix, Arizona (-15.7% to 45.4%); and Detroit, Michigan
(-15.2% to 55%).
• New Orleans, Louisiana, was the only
market to increase in two of the three key metrics, rising 5.7% in
ADR to US$116.29 and 1.1% in RevPAR to US$70.26.
• New York,
New York, reported the largest ADR decrease, falling 30.4% to
US$199.08, followed by San Francisco/San Mateo, California, which
was down 22.3% to US$126.87.
• Washington, D.C., was the only
market to experience a single-digit RevPAR decrease, which dropped
5.0% to US$113.65.
• Six markets experienced RevPAR declines of
more than 25%: New York (-34.9% to US$163.11); San Diego (-31.1%
to US$84.55); San Francisco/San Mateo (-28.4% to US$97.65);
Phoenix (-25.8% to US$36.60); Chicago, Illinois (-25.7% to
US$79.30); and Minneapolis-St. Paul (-25.3% to US$56.63).
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