Home » Hotel Trends » Currently Reading:

STR: Central/South America hotel performance for January 2017

February 27, 2017 Hotel Trends No Comments Email Email

Hotels in the Central/South America region reported negative performance results in January 2017, according to data from STR.http://join.travelmanagers.com.au/

U.S. dollar constant currency, year-over-year comparisons:

Central/South America region

  • Occupancy: -5.2% to 52.3%
  • Average daily rate (ADR): -6.9% to US$101.25
  • Revenue per available room (RevPAR): -11.8% to US$52.97

Local currency, year-over-year comparisons:

Chile

  • Occupancy: +10.3% to 72.9%
  • ADR: -6.4% to CLP81,846.24
  • RevPAR: +3.2% to CLP59,626.46

The month resulted in Chile’s highest year-over-year occupancy increase since July 2015. Growth was driven primarily by Santiago, and in particular, the business district of Providencia—where RevPAR increased 33.8%. According to Turismo Chile, international tourism arrivals to Chile increased 26% in 2016 and are projected to rise another 14% in 2017.  ADR, on the other hand, has declined for eight consecutive months in the country. STR analysts believe that ADR performance has been mostly due the market absorbing new supply (+2.2 in 2016, +1.7% in January 2017) in an economic climate where exchange rates dropped.

Costa Rica

  • Occupancy: +0.5% to 73.6%
  • ADR: -8.4% to CRC78,613.64
  • RevPAR: -7.9% to CRC57,879.45

The first quarter is generally the high performance season for Costa Rica hotels. January’s moderate occupancy growth was mainly driven by San Jose, which posted 3.7% growth in occupancy and a 7.6% rise in RevPAR. ADR was down across most of the rest of the country. Costa Rica currently has more than 2,200 hotel rooms in the pipeline, with a majority of those in development outside of San Jose.

Ecuador

  • Occupancy: +8.0% to 55.8%
  • ADR: -7.6% to US$94.00
  • RevPAR: -0.2% to US$52.44

Demand growth (+13.6%) more than doubled significant supply growth (+5.2%), resulting in Ecuador’s highest year-over-year increase in occupancy for any month since September 2014. STR analysts note that Ecuador became expensive for interregional demand as the only U.S. dollar country in the region. As a result, hoteliers likely had to lower rates.

Comment on this Article:







Time limit is exhausted. Please reload CAPTCHA.

Platinium Partnership

ADVERTISEMENTS

Elite Partnership Sponsors

ADVERTISEMENTS

Premier Partnership Sponsors

ADVERTISEMENTS

Official Media Event Partner

ADVERTISEMENTS

Global Travel media endorses the following travel publication

ADVERTISEMENTS

GLOBAL TRAVEL MEDIA VIDEOS

ADVERTISEMENTS