Airport Hotels Post Strong Performance
Airport hotels sold 27.2 million rooms in the first four months of 2014, according to lodging data provider STR, the most ever sold during that period. STR senior VP of strategic development Jan Freitag points to record airline load factors and the harsh winter weather as two primary contributing factors. But Freitag points as well to very limited supply growth in the segment -- just a 1.9 percent increase between 2011 and 2014, which led to a 71.7 percent year-to-date occupancy as of April. The industry average occupancy is slightly more than 60 percent. Average daily rate growth likewise has been strong for airport hotels. The $102 ADR in April of this year represented a 4 percent increase over 2013 and a 14.6 percent leap over four years. "In the U.S. hotel industry, no good data goes unpunished," Freitag writes in Hotel News Now, a publication of STR. "It is probably fair to assume there will be an influx of new rooms in 2015 and beyond."