HVS Canadian Lodging Outlook - 4th Quarter, 2016
Canadas lodging market had a robust year in 2016. There was a net increase of more than 4,000 new rooms which was more than absorbed with RevPAR up 5.0%.
AlixPartners, AM:PM and HVS have published the Q4 2016 Hotel Bulletin. The Hotel Bulletin analyses demand, supply pipeline and transactions in the hotel market in 12 cities across the UK. This edition includes a focus on trends in UK hotel supply.
Durban, South Africa will host the Commonwealth Games in 2022. Due to the 2010 World Cup, hotels were oversupplied and many suffered low occupancies due to the financial crisis of 2008/09. What has the Durban hotel industry learnt from this?
Hotel assets continued to appreciate in 2016, but at a more modest pace due to slowing RevPAR growth and a rise in cap rates. The stock market rally following the election has led to cautious optimism about what 2017 will bring.
Hotel markets across Somerset, Morris, and Middlesex Counties in northern New Jersey have realized a rise in commercial lodging demand, the result of corporate relocations from New York City and local company expansions.
There is no doubt that New York City is down, but it is important to understand the market fundamentals behind the current trends; specifically, what is going wrong, what is going right, and when the trends will be reversed.
The hotel industry is in the midst of a dramatic change. However, knowing there is a need for change is not enough. Real change or transformation is the most daunting task facing organizations & individuals in todays fast paced and innovative world.
This is a time of contrasts in the Canadian Lodging Market. Resource based markets are suffering due to low oil prices, however leisure markets, most particularly in Luxury and Resort markets are benefiting from demand induced by the low-oil Loonie.