STR Weekly Insights: 22-28 June 2025

All financial figures in U.S. dollar constant currency.

Highlights

• Strong weekend offset by slower weekdays
• Sluggish Top 25 Market performance balanced by all other markets
• Group demand impacted by Juneteenth and July 4^th calendar shift
• Global RevPAR unchanged

Leisure demand alive and well while business retreats

Healthy weekend performance in the last full week of June was offset by declines across weekdays, resulting in a flat week for U.S. hotels. Revenue per available room (RevPAR) was unchanged (-0.1%), the result of no movement in average daily rate (ADR), at 0.0% or occupancy, -0.1 percentage points (ppts).

There was movement in day-of-week performance with weekend (Friday & Saturday) RevPAR advancing 3.2%, while weekdays (Monday - Wednesday) retreated 2.2%. Shoulder days were also down slightly (-0.8%). Without business travel at pre-pandemic levels, daily and weekly demand will fluctuate up and down.

Chain scale bifurcation continues at a much more muted level this week, with Luxury posting the greatest RevPAR gain (+1.7%), while Economy saw the steepest decline (-1.8%). Hotels across all chain scales followed the day-of-week patterns, with the weekend producing the most positive performance for all chain scales outside of Economy. Weekdays saw declining RevPAR across all chain scales. All chain scales except Luxury posted a RevPAR drop during the shoulder period.

Rest of the U.S. outperformed the Top 25 Markets

It was a lackluster week for the Top 25 Markets (T25) while the rest of the country posted a respectable performance. T25 RevPAR dipped 2.8% driven by weekday (-4.8%) and shoulder (-4.0%) day declines. The weekend was positive, up 1.3%. Only nine of the T25 markets posted positive RevPAR. There were a few bright spots with Philadelphia, Dallas, and Orlando increasing RevPAR by double digits.

In other large city markets, RevPAR increased 1.9%, driven by the weekend (+6.0%) and shoulder days (+1.7%). Weekday RevPAR, on the other hand, declined 1.1%. Forty of the 70 STR-defined large city markets produced positive RevPAR, with 17 reporting double-digit growth. Top markets were Chattanooga, Madison, Pittsburgh and Cleveland, each reporting 25% or greater RevPAR gains.

RevPAR in non-metro/rural areas rose 2.1% lifted by the weekend (+3.6%). Shoulder days and weekdays also advanced 2.1% and 0.8%, respectively. RevPAR increased in over two-thirds of the 77 areas (53/77) identified as non-metro/rural. Louisiana North, Wisconsin South and North, and Missouri North topped the leader board in RevPAR gains.

Group demand held, lifted by markets outside the T25

Group demand across Luxury and Upper Upscale hotels was flat (at 0.1%) with an increase of 5.2% on the weekend, offset by an average 1.7% decline over the other five days of the week.

Some of the day-of-week shift was possibly due to the days on which Juneteenth and July 4th fell last year (Wednesday and Thursday, respectively) compared to this year (Thursday and Friday, respectively).

The shift this year appears to have negatively impacted weekdays and positively impacted the weekend. Additionally, this shift may explain the boost to group demand provided by non-T25 markets, rising 4.2%, while T25 group demand declined 3.1%. Dallas, Miami and Philadelphia were T25 bright spots, posting healthy group demand increases.

Most major countries posted positive performance

Global RevPAR was flat (0.2%) with ADR advances (1.0%) offset by occupancy declines (-0.6ppts). Interestingly, the day-of-week pattern seen in the U.S. was also evident on a global level. Weekend RevPAR advanced 3.0% while the weekday and shoulder period RevPAR declined 1.0% and 0.9%, respectively.

While it was a flat week from an overall global perspective, nine of the 11 major countries posted positive performance for the week, with all but two also posting growth on average over the past four weeks. Japan continued to hold the top spot, followed at a distance by Indonesia, Spain and India.