Since 2014, U.S. lodging industry owners and operators have seen a steady decline in the pace of revenue growth. In 2014, rooms revenue per available room (RevPAR) increased by a healthy 8.2 percent according to STR. Per the December 2017 edition of CBREs Hotel Horizons®, RevPAR is forecast to increase by just 2.5 percent in 2018. Facing lackluster revenue growth, hoteliers sights are now focused further on down the operating statement to determine what the impact of slow top-line gains will be on bottom-line profits.
US growth is expected to moderate from an estimated 2.8% in 2018 to around 2.3% in 2019 - Labour markets in advanced economies expected to tighten, pushing up wages - India and France could overtake the UK economy in terms of size in 2019
The Baird/STR Hotel Stock Index fell 4.0% in June to a level of 4,863. Year to date through the first half of 2018, the stock index was down 0.5%.
The Baird/STR Hotel Stock Index closed April at 4,864, which was a 1.6% increase from the previous month. Year to date through April, the stock index was down 0.5%.