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STR: US hotel performance for September 2013

October 24, 2013 Statistics & Trends No Comments Email Email

The U.S. hotel industry reported positive results in the three key performance metrics during September 2013, according to data from STR.

Overall, the U.S. hotel industry’s occupancy slightly rose 0.3 percent to 63.4 percent, its average daily rate was up 3.3 percent to US$111.03, and its revenue per available room increased 3.6 percent to US$70.36.

Year-over-year demand grew 0.9 percent to 94 million room nights sold. Jan Freitag, senior VP at STR, chalked up the hotel industry’s September performance in part to a quirk in the calendar.

“This dramatic slowdown of demand growth can be partially explained by the loss of one Saturdaythis year versus last year,” Freitag said. “But there is no doubt that slowing group travel has taken its toll on the results during September, which is a historically strong meeting month.”

Group occupancy declined 1.1 percent for upper-end hotels, and Freitag said this drop stands in contrast to a 1.2-percent increase in transient occupancy.

Among the Top 25 Markets, Nashville, Tennessee, reported the largest occupancy increase, rising 9.7 percent to 71.4 percent. Denver, Colorado, followed with a 9.3-percent increase to 81.0 percent. New Orleans, Louisiana, reported the largest decrease in occupancy, as it fell 20.2 percent to 58.7 percent.

Three Top 25 Markets achieved double-digit ADR increases: Oahu Island, Hawaii (+13.2 percent to US$203.11); San Francisco/San Mateo, California (+11.8 percent to US$217.62); and Nashville (+10.7 percent to US$107.08). Philadelphia, Pennsylvania-New Jersey (-0.4 percent to US$122.21), and Norfolk-Virginia Beach, Virginia (-0.3 percent to US$85.52), reported slight decreases for the month.

Five Top 25 Markets experienced RevPAR increases of more than 10 percent: Nashville (+21.5 percent to US$76.50); Denver (+16.1 percent to US$87.72); Houston, Texas (+15.3 percent to US$67.60); San Francisco/San Mateo (+13.6 percent to US$194.46); and Oahu Island, Hawaii (+12.9 percent to US$171.13). New Orleans reported the largest RevPAR decrease, as it fell 18.0 percent to US$70.89.

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