Based on daily data from May, London reported the following in year-over-year comparisons:
- an increase in supply (+2.5%) and a decrease in demand (-0.4%);
- a 2.8% decrease in occupancy to 81.7%;
- a 0.4% increase in average daily rate (ADR) to GBP143.92; and
- a 2.4% decrease in revenue per available room (RevPAR) to GBP117.62.
The decrease in occupancy came as a result of a supply growth and demand performance imbalance. Although performance was weak for the month overall, occupancy remained above 86.0% from Tuesday, 24 May to Saturday, 28 May when London hosted the Chelsea Flower Show. ADR also peaked for the month at GBP165.49 on that opening Tuesday.
STR will release May 2016 results later this month. The May edition of STR’s Market Forecast is now available.