STR releases updated 2013, 2014 forecasts
The U.S. hotel industry expects to see performance increases during 2013 and 2014, according to the most recent forecast from STR, in partnership with Tourism Economics. Overall, in 2013 occupancy is expected to rise 0.8 percent to 61.9 percent, average daily rate is forecasted to increase 4.9 percent to US$111.27 and revenue per available room is expected to grow 5.7 percent to US$68.86.
demand," said Randy Smith, co-founder and chairman at STR, on Tuesday during the Americas Lodging Investment Summit. "Taking a look at the occupancies and ADRs, this is just about as good as we can hope for it to be. All of the segments are seeing very solid increases in occupancy and ADR. Getting into our forecast, where we are at this point, we do not expect supply growth to be an issue. We're a little bit more positive this year than last year on ADR growth."
The forecasted ADR would surpass the 2008 peak level (US$107.41), and the projected RevPARwould surpass the 2007 peak level (US$65.56).
Supply in 2013 is forecasted to rise 1.0 percent, and demand is projected to be up 1.8 percent.
The forecast for 2014 includes:
- a 1.3-percent increase in occupancy to 62.7 percent;
- a 4.6-percent rise in ADR to US$116.43;
- and a 6.0-percent growth in RevPAR to US$72.97.
In 2014, supply (+1.5 percent) and demand (+2.8 percent) are both projected to increase.
Rachael Spann Urie
Director, Public Relations
Phone: +1 (615) 824-8664 ext. 3305
STR provides clients from multiple market sectors with premium, global data benchmarking, analytics and marketplace insights. Founded in 1985, STR maintains a presence in 16 countries with a corporate North American headquarters in Hendersonville, Tennessee, and an international headquarters in London, England. For more information, please visit str.com.