The U.S. hotel industry reported in July 2012 the most rooms sold during a single month since Smith Travel Research started tracking hotel performance in 1987.
Demand during July increased 1% to 1.06 million roomnights sold, breaking the July 2011 record of 1.05 million roomnights sold.
Overall, the U.S. hotel industry’s occupancy rose 0.5% to 70%, its average daily rate was up 3.8% to $107.44 and its revenue per available room increased 4.3% to $75.25.
“Record levels of demand will continue to stimulate ADR growth, particularly as group rooms sold firms in the historically heavy convention months of September, October and November,” said STR’s COO Brad Garner. “Discount-conditioned consumers will continue to experience a shift to a seller’s market with magnitude likely accelerating in 2013.”
Among the chain-scale segments, the luxury segment rose 1.8% in occupancy to 76.2%, reporting the largest increase in that metric.
The upscale segment reported the largest ADR increase, up 5.6% to $117.67, followed by the upper-upscale segment with a 5.3% increase to $150.23.
Three segments experienced RevPAR increases of more than 5%: the upscale segment (+6.1% to $90.38); the luxury segment (+5.3% to $194.62); and the upper-upscale segment (+5.2% to $113.86).
None of the chain-scale segments reported performance decreases in July.
Among the top 25 markets, New Orleans rose 10.6% to 68%, reporting the largest occupancy increase in that metric. Oahu Island, Hawaii, followed with a 10.3% occupancy increase to 91.8%. Phoenix fell 3% in occupancy to 46.5%, posting the largest decrease in that metric.
Four markets experienced double-digit ADR increases: Oahu Island (+15.8% to $195.12); San Francisco/San Mateo (+11.9%to $176.52); New Orleans (+11% to $117.23); and Boston (+10.8% to $160.75). Phoenix ended the month with the largest ADR decrease, falling 1.3% to $76.50.
Three markets achieved RevPAR increases of more than 15 percent: Oahu Island (+27.7% to $179.20); New Orleans (+22.8% to $79.72); and Houston (+16% to $56.63). Phoenix fell 4.3% in ADR to $35.60, reporting the largest decrease in that metric.
(Source: HotelNewsNow, 08/21/12)