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STR: Houston hotel performance exceeds Super Bowl expectations

February 25, 2017 Hotel Trends No Comments Email Email

Houston hotel performance exceeded expectations during Super Bowl 51 weekend, and performance was strongest in the central business district, as reported in an analysis by STR‘s Consulting & Analytics division.

For 3-5 February 2017, the Houston metro market reported occupancy of 84.2% and average daily rate (ADR) of US$278.03. In the Houston CBD submarket, occupancy averaged 99.0% during the three-day period, and ADR hit US$546.24. As a result, revenue per available room (RevPAR) grew 356% in the Houston metro market and 851% in the Houston CBD.

Super Bowl
host market
Total hotel rooms
(during Super Bowl)
RevPAR growth
Dallas (2011) 81,476 +447%
Indianapolis (2012) 31,320 +1,082%
New Orleans (2013) 39,731 +361%
New York City (2014) 115,076 +115%
Phoenix (2015) 63,544 +344%
San Francisco (2016) 51,077 +234%
Houston (2017) 85,124 +356%

“Based on the relatively depressed state of the hotel industry in Houston, it wasn’t a foregone conclusion that performance would fall in line with that of previous Super Bowl host markets,” said Carter Wilson, STR’s VP of consulting & analytics. “But as it turns out, year-over-year RevPAR growth slightly exceeded the 150% to 350% projection we released a few weeks back. Of course, that growth is helped by Houston’s lower performance comparison base, but nonetheless, it was the third-highest among the past seven Super Bowls, even with Houston having the second most rooms to fill.”

In addition to the Houston CBD, two additional submarkets reported occupancy in excess of 90%: Houston Galleria/Greenway Plaza (98.9%) and Houston Medical Center/Reliant Stadium (92.7%). All other submarkets in Houston, with the exception of the North/Woodlands submarket, surpassed an approximate 80% occupancy level.

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