STR reports Q1 stats for US hotels
The coronavirus outbreak continues to spell negative results
for the U.S. hotel industry. First-quarter numbers were down for all three key
performance metrics, according to STR.
Year-over-year occupancy for the three-month period ending March
31 declined 15.9%, to 51.8%. Average daily rate dropped 4%, to $123.76. Revenue
per available room declined 19.3%, to $64.14.
The absolute occupancy level was the lowest for the industry
since the financial crisis in the first quarter of 2009. The year-over-year
decline in the metric was the worst for any quarter that STR has recorded.
Among the top 25 markets, San Francisco/San Mateo reported
the steepest decline in occupancy (down 24.9%), which resulted in the largest
decline in RevPAR (down 29.9%).
For the week ending April 18, things were considerably
worse. Compared with the week ending April 20, 2019, occupancy fell 64.4%, to
23.4%. ADR dropped 42.2%, to $74.53. RevPAR was down 79.4%, to $17.43.
“Absolute occupancy and ADR were actually up slightly from
the previous week, but it is important to state that this is not any type of
early recovery sign,” said STR senior vice president of lodging insights Jan
Freitag. “Rather, more demand can be attributed to frontline workers. A perfect
example, the most notable occupancy level (33.3%) came in the New York City
market, which has welcomed an influx of workers from the medical community.”
Source: Business Travel News
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