The U.S. hotel industry recorded positive results in the three key performance measurements during the week of 22-28 March 2015, according to data from STR, Inc.In year-over-year measurements, the industry’s occupancy rose 3.6 percent to 69.5 percent. Average daily rate increased 6.3 percent to finish the week at US$121.95. Revenue per available room for the week was up 10.1 percent to finish at US$84.74.
Seven of the Top 25 Markets reported RevPAR increases of more than 20.0 percent: Phoenix, Arizona (+26.0 percent to US$161.27); Boston, Massachusetts (+25.5 percent to US$134.18); Chicago, Illinois (+23.1 percent to US$89.53); Nashville, Tennessee (+21.7 percent to US$118.15); Orlando, Florida (+21.2 percent to US$124.38); Los Angeles/Long Beach, California (+20.7 percent to US$138.78); and San Francisco/San Mateo, California (+20.4 percent to US$185.33).
“Impressively, 15 of the Top 25 Markets saw double-digit RevPAR gains with seven markets in excess of 20.0 percent growth last week,” said Brad Garner, STR’s senior VP for client relationships. “The increases were in large part due to group travel, which saw RevPAR grow 13.1 percent for the week. The surge in group travel can be attributed to pre-Passover and Easter travel. We would anticipate performance to soften a bit in the upcoming weeks due to Passover and Easter.”
Two markets reported RevPAR decreases for the week: New York, New York (-1.7 percent to US$191.82), and Houston, Texas (-0.7 percent to US$85.62).
Eight markets recorded double-digit ADR increases during the week: San Francisco/San Mateo (+15.1 percent to US$209.06); Nashville (+14.9 percent to US$136.49); Phoenix (+14.4 percent to US$173.45); Orlando (+13.6 percent to US$135.51); Los Angeles/Long Beach (+13.4 percent to US$159.86); Boston (+12.6 percent to US$173.54); Chicago (+11.4 percent to US$128.52); and Seattle, Washington (+10.1 percent to US$132.18).
Washington, D.C.-Maryland-Virginia (-2.3 percent to US$164.62), and New York (-1.9 percent to US$226.29) reported the only ADR decreases.
Four markets recorded double-digit occupancy increases: Boston (+11.5 percent to 77.3 percent); Chicago (+10.5 percent to 69.7 percent); Phoenix (+10.1 percent to 93.0 percent); and Norfolk/Virginia Beach, Virginia (+10.1 percent to 55.0 percent).
Houston reported the largest occupancy decrease, slipping 2.7 percent to 75.7 percent during the week.