Continued Negative Performance Metrics for the Hotel Industry in the Central/South America Region
Hotels in the Central/South America region reported negative performance results in February 2017, according to data from STR.
U.S. dollar constant currency, year-over-year comparisons:
Central/South America region
- Occupancy: -2.5% to 55.4%
- Average daily rate (ADR): -7.0% to US$102.56
- Revenue per available room (RevPAR): -9.3% to US$56.81
Local currency, year-over-year comparisons:
- Occupancy: +3.9% to 59.5%
- ADR: +5.6% to ARS1,742.39
- RevPAR: +9.7% to ARS1,036.16
Argentina’s strong February performance was primarily driven by hotels in the Upscale and Upper Midscale classes (RevPAR: +14.3%). STR analysts note that the country’s hotel market is regaining stability after the devaluation of the Argentinian peso in 2016.
- Occupancy: -5.1% to 59.7%
- ADR: -1.1% to COP280,127.96
- RevPAR: -6.1% to COP167,203.22
February marked Colombia’s third consecutive month of RevPAR declines, which was mainly the result of a 1.6% drop in demand coupled with a 3.7% increase in supply. Looking at performance by class, Midscale and Economy was the only segment to post growth (RevPAR: +6.5%). STR analysts suggest this is reflective of a more price-sensitive consumer base.
- Occupancy: -3.6% to 54.4%
- ADR: -10.6% to PEN404.95
- RevPAR: -13.8% to PEN220.17
In comparison with a particularly strong ADR last month, hotels in Peru posted sharp declines. Performance was down for most key markets, with the exception of Cusco, which posted occupancy growth of 4.4%, countering a 3.1% decline in ADR.
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