Americas Region Leads Global Hotel Performance in July

The Americas region was the only one to post year-over-year increases in all three hotel performance metrics, according to STR's global results for July, released last week. The Americas' occupancy grew by 0.5 percenover last yeart, to 7 percent; average daily rate increased by 3.3 percent, to US$109.61; and revenue per available room rose 3.8 percent, to US$76.74. Mexico City led all major metropolitan areas in the Americas with a 6.3 percent rise in occupancy. Meanwhile, San Francisco and Boston led the region in rate increases, with ADR hikes of 11.9 percent and 10.8 percent, respectively. The two U.S. cities also led the region in RevPAR increases. The largest ADR decreases for July were posted by Buenos Aires, Argentina (-12.6 percent), and Sao Paulo, Brazil (-11.7 percent).

In the Asia Pacific region, July occupancy fell by 2.2 percent, ADR grew by a slight 0.2 percent and RevPAR fell by 2.1 percent. Thailand and French Polynesia led the region with double-digit RevPAR increases; both posted their best July occupancy figures since 2006. In terms of ADR increases, the Chinese cities of Taipei and Bejing led the pack, rising 14.0 percent and 13.1 percent (in U.S. dollars), respectively.

In Europe, a 7 percent year-over-year ADR increase (in euros) was tempered by occupancy decreases. In London, even the beginning of the Olympics could not counteract the decreases that occurred earlier in the month, leaving the U.K. capital with an 11.1 percent occupancy decrease for the month. Five cities posted year-over-year ADR growth of 15 percent or more: Reykjavik, Iceland (26.1 percent); Tel Aviv, Israel (22.4 percent); London (22.1 percent); Manchester, U.K. (18.5 percent), and Istanbul, Turkey (15.0 percent).

Finally, the Middle East/Africa region posted mostly negative results, with occupancy down 4.9 percent, ADR down 2.1 percent and RevPAR dropping 3 percent. Ramadan, which took place July 20 to Aug. 19, was a major factor, according to STR. The holy cities of Makkah and Medina in Saudi Arabia were exceptions, posting RevPAR increases of 90.9 percent and 33 percent, respectively.