Hotels: Strong Finish to 2014, Best Year since 2000 - InvestingChannel

Hotels: Strong Finish to 2014, Best Year since 2000

From HotelNewsNow.com: STR: US results for week ending 27 December

The U.S. hotel industry recorded mostly positive results in the three key performance measurements during the week of 21-27 December 2014, according to data from STR, Inc.

In year-over-year measurements, the industry’s occupancy was flat at 44.4 percent. Average daily rate increased 1.5 percent to finish the week at US$110.71. Revenue per available room for the week was up 1.5 percent to finish at US$49.18.
emphasis added

Note: ADR: Average Daily Rate, RevPAR: Revenue per Available Room.

The following graph shows the seasonal pattern for the hotel occupancy rate using the four week average.

Hotels are now in the slow period of the year.

Hotel Occupancy Rate Click on graph for larger image.

The red line is for 2014, blue is the median, and black is for 2009 – the worst year since the Great Depression for hotels.  Purple is for 2000.

The 4-week average of the occupancy rate is solidly above the median for 2000-2007, and since mid-June, the occupancy rate has been a little higher than for the same period in 2000.

With the strong finish, the occupancy rate in 2014 was about the same as in 2000!

Data Source: Smith Travel Research, Courtesy of HotelNewsNow.com

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