US Hotel Performance in January 2010

According to data compiled from STR, the U.S. hotel industry posted declines in all three key performance measurements during January 2010. In year-over-year measurements, the industry's occupancy ended the month virtually flat with a 0.4% decrease to 45.1%. ADR dropped 7.1% to finish the month at US$93.93 while RevPAR for the month decreased 7.4% to finish at US$42.35.

"January's results continue the pattern of demand improvement that began toward the end of 2009," said Mark Lomanno, president of STR. "We expect this trend of positive demand growth to continue throughout most of this year. Hopefully, this will result in a firming of prices before too many more months go by."

Among the Chain Scale segments, three of the seven segments reported occupancy increases: the Luxury segment (+9.4% to 57.2%); the Upper Upscale segment (+5.4% to 56.1%); and the Upscale segment (+4% to 53.1%).

Among the Top 25 Markets, Boston, Massachusetts, reported the largest occupancy increase, up 18.3% to 48.9%, followed by Detroit, Michigan (+11.2% to 44.5%), and Miami-Hialeah, Florida (+10.6% to 74.6%). Houston, Texas, experienced the largest occupancy decrease, due to the lingering effects of Hurricane Ike, falling 15.7% to 49%.

Los Angeles-Long Beach, California, ended the month virtually flat in ADR growth with a 0.1% increase to US$119.80. Washington, D.C., which hosted President Barack Obama's presidential inauguration on 20 January 2009, posted the largest ADR decrease, falling 27.2% to US$132.65. Tampa-St. Petersburg, Florida, which hosted Super Bowl XLIII on 1 February 2009, also reported a large ADR decrease, falling 25.4% decrease to US$94.27.

Boston experienced the largest RevPAR increase, rising 11.9% to US$56.61. Three other markets reported RevPAR increases for the month: Los Angeles-Long Beach (+6.1% to US$74.07); Miami-Hialeah (+4.2% to US$124.05); and Atlanta, Georgia (+2.5% to US$43.85). Washington, D.C., posted the largest RevPAR decrease, falling 32.3% to US$64.19, followed by Tampa-St. Petersburg (-27.6% to US$48.29) and Houston (-23.8% to US$42.66).

See recent travel news from: Travel News Asia, Rest Detail, Hua Hin, STR, January 2010