STR Reports US Hotel Performance for May 2010
In year-over-year measurements, the industry’s occupancy was up 7.1 percent to 58.9 percent. Average daily rate ended the month flat at US$97.50. Revenue per available room for the month increased 7.1 percent to finish at US$57.47.
The U.S. hotel industry posted mostly positive results in the three key performance measurements during May 2010, according to data from STR.
In year-over-year measurements, the industry's occupancy was up 7.1 percent to 58.9 percent. Average daily rate ended the month flat at US$97.50. Revenue per available room for the month increased 7.1 percent to finish at US$57.47.
"May was another strong performance month for the U.S. hotel industry as the demand for hotel rooms far exceeded May of last year, driving occupancies," said Mark Lomanno, president at STR. "In addition, May was the first month in almost two years that ADR was not lower than the same month of the preceding year, as it was flat for the month. Going into the summer, we expect industry performance to improve dramatically as we finally will begin to see increases in room rates."
Among the Top 25 Markets, Nashville, Tennessee, reported the largest occupancy increase, rising 24.8 percent to 67.8 percent. Three other markets posted occupancy increases of more than 15 percent: New Orleans, Louisiana (+21.0 percent to 68.6 percent); Boston, Massachusetts (+15.5 percent to 76.6 percent); and Chicago, Illinois (+15.1 percent to 67.1 percent). Norfolk-Virginia Beach, Virginia, ended the month virtually flat with a 0.4-percent occupancy decrease to 56.2 percent.
New Orleans experienced the largest ADR increase, rising 16.7 percent to US$129.89, followed by New York, New York, with a 15.0-percent increase to US$231.38. Five markets posted ADR decreases of more than 5 percent: Orlando, Florida (-11.1 percent to US$88.39); Nashville (-8.8 percent to US$82.85); Seattle, Washington (-8.5 percent to US$107.92); San Diego, California (-6.5 percent to US$117.83); and Chicago (-5.2 percent to US$113.77).
New Orleans increased 41.2 percent in RevPAR to US$89.10, reporting the largest increase in that metric. Four other markets experienced RevPAR increases of more than 15 percent: New York (+26.9 percent to US$202.43); Denver, Colorado (+18.8 percent to US$62.36); Dallas, Texas (+17.4 percent to US$47.76); and Boston (+15.1 percent to US$116.09).
View U.S. hotel performance for May 2010
About STR
STR provides clients—including hotel operators, developers, financiers, analysts and suppliers to the hotel industry—access to hotel research with regular and custom reports covering North America, Mexico and Caribbean. STR provides a single source of global hotel data covering daily and monthly performance data, forecasts, annual profitability, pipeline and census information. STR founded the STR family of companies and is proudly associated with STR Global, RRC Associates, STR Analytics, and HotelNewsNow.com. For more information, please visit www.str.com.
