Industry’s occupancy was up 3.2 percent and average daily rate rose to US$114.67
HENDERSONVILLE, Tennessee—The US hotel industry reported positive results in the three key performance metrics during April 2014, according to data from STR, an organization that provides access to hotel research with regular and custom reports covering North America and the Caribbean.
Overall, the U.S. hotel industry’s occupancy was up 3.2 percent to 65.7 percent, its average daily rate rose four percent to US$114.67, and its revenue per available room increased 7.4 percent to US$75.30.
“April was a good month for hotels, as we saw the highest RevPAR growth (+7.4 percent) so far this year and the strongest in the last 12 months,” said Jan Freitag, senior VP of strategic development at STR. “In April 2013, RevPAR growth was also 7.4 percent, so this year’s growth was impressive against this tough comparable. ADR grew four percent, and has been above three percent each month since January 2011. We expect rate growth to continue unabated for the foreseeable future.”
Supply growth for the month increased 0.8 percent, the same as during the last two months, Freitag noted. That’s surprising since the organization thought that supply growth would increase given the strong growth in the under construction pipeline. Among the Top 25 Markets, Tampa/St. Petersburg, Florida, rose 9.8 percent in occupancy to 75.3 percent, reporting t
he largest increase in that metric. San Diego, California, followed with an 8.7-percent increase in occupancy to 77.3 percent. Detroit, Michigan (-4.2 percent to 59.8 percent), and Oahu Island, Hawaii (-3.9 percent to 77.8 percent), posted the largest occupancy decreases in April.
Three markets reported double-digit ADR growth: Nashville, Tennessee (+16.1 percent to US$119.60); Miami/Hialeah, Florida (+13.6 percent to US$206.83); and Tampa/St. Petersburg (+11.1 percent to US$121.34).
Seven markets achieved RevPAR increases of more than 15 percent: Nashville (+23.5 percent to US$90.89); Tampa/St. Petersburg (+22.1 percent to US$91.39); Dallas, Texas (+17.8 percent to US$72.99); Orlando, Florida (+17.8 percent to US$89.63); Boston, Massachusetts (+17.4 percent to US$149.68); Denver, Colorado (+15.9 percent to US$82.96); and Miami/Hialeah (+15.8 percent to US$168.07).
Washington, D.C., reported the largest decreases in both ADR (-5.4 percent to US$155.22) and RevPAR (-3.6 percent to US$120.83).