Source: Yahoo! Finance
June 19, 2020
The hotel industry, which had been crippled by the cascading effect of the coronavirus pandemic, is slowly regaining momentum. Per STR, the U.S. Hotel industry’s occupancy for the week ended Jun 13, 2020 has rebounded sharply from the historic lows in mid-April.
Occupancy Improves Sharply
Per STR, occupancy for the week ended Jun 13 hit 41.7%, in sharp contrast to the industry’s historic low of 22% in mid-April. However, the occupancy is still considerably below the year-ago comparable figure of 73.6%.
Per report, the recent recovery has been driven by increase in occupancy at freeway locations. Norfolk/Virginia Beach, VA, reported 50% occupancy level. Moreover, Phoenix, AZ, New York, NY and Tampa/St. Petersburg, FL attained occupancy of 47.6%, 45.7% and 44.7%, respectively.
However, average daily rate (ADR) and revenue per available room (RevPAR) for the week ended Jun 13 came in at $89.09 and $37.15 down 33.9% and 62.6%, respectively.
STR’s senior director, consulting & analytics, Alison Hoyt said “As we have noted, the drive-to destinations with access to beaches, mountains and parks continue to lead the early leisure recovery. With more consistent demand, we’re beginning to see more pricing confidence in those areas as well.”