Overall, in year-over-year results, the U.S. hotel industrys occupancy was up 3.9 percent to 65.7 percent; its average daily rate rose 5.3 percent to US$117.17; and its revenue per available room increased 9.5 percent to US$76.97.
Overall, in year-over-year results, the U.S. hotel industry’s occupancy was up 3.9 percent to 65.7 percent; its average daily rate rose 5.3 percent to US$117.17; and its revenue per available room increased 9.5 percent to US$76.97.
“September proved to be even stronger than August, with overall year-over-year RevPAR growth the second-highest of the year,” said Carter Wilson, director of STR Analytics, STR’s sister company. “Supply nudged down to just under 1 percent, while nearly 98 million roomnights were sold in September, the highest-ever recorded in that month.
“Demand growth in September was fueled by group business, which was up 8.6 percent for the month, the second-highest increase of the year. While transient demand was flat, transient rates surged 6.9 percent. Overall, however, group demand dominated in September, with a total monthly RevPAR increase of 13.3 percent compared to last year.”
Among the Top 25 Markets, 16 of the top markets recorded double-digit RevPAR growth in September. New Orleans, Louisiana, rose 23.8 percent to US$87.64, reporting the largest increase in that metric, followed by Detroit, Michigan (+21.5 percent to US$65.06), Seattle, Washington (+20.4 percent to US$127.42), and Atlanta, Georgia (+19.3 percent to US$65.25). None of the top markets experienced a RevPAR decrease during September.
Four markets reported double-digit ADR increases: Seattle (+14.0 percent to US$150.71); Boston, Massachusetts (+12.1 percent to US$201.84); Nashville, Tennessee (+12.1 percent to US$119.50); and Denver, Colorado (+11.9 percent to US$121.33). Norfolk/Virginia Beach, Virginia, fell 0.6 percent to US$85.16, posting the only ADR decrease.
New Orleans increased 13.5 percent in occupancy to 66.5 percent, achieving the largest increase in that metric. Detroit followed with an 11.7-percent increase to 71.0 percent. Minneapolis/St. Paul, Minnesota-Wisconsin, fell 2.6 percent to 71.7 percent in occupancy, experiencing the only decrease in that metric.
Year-to-date 2014 in year-over-year changes, the U.S. increased 3.5 percent to 65.9 percent in occupancy; its ADR was up 4.5 percent to US$115.49; and its RevPAR rose 8.2 percent to US$76.14.
“All in all, year-to-date RevPAR was up 8.2 percent compared to last year, and on a running three-month basis we are experiencing occupancy levels not seen since the peak occupancy periods of 1995 and 1996,” Wilson commented. “The year continues to unfold at record levels, and rate is now pacing at its fastest year-to-date growth since 2007.”