Top 25 Markets Back to Peak Hotel Occupancy
Hotel occupancy for the top 25 U.S. markets reached 71.1 percent from January through July of this year, according to lodging statistics provider STR, marking a return to the industry's pre-recession peak. But the rebound has been driven by transient business, as discussed in a presentation last week at STR's Hotel Data Conference entitled "On a Roll: A Look at the Top 25 Markets." Group business was referred to as the markets' "kryptonite," according to STR subsidiary HotelNewsNow.com: group occupancy dropped 1.9 percent in the top markets, year-over-year, through July, while transient occupancy increased by 3.6 percent. Revenue per available room grew by 8.4 percent for transient business, compared to a 2.4 percent increase for groups. The average daily rate for all business combined has rebounded, although not as strongly as occupancy: The ADR through July of this year reached $132.89, short of the peak of $134.24 notched in September 2008.