Marketview Snapshot U.S. Hotels Q4 2016
The national unemployment rate fell to 4.7% in Q4—the lowest level since the Great Recession—and non-farm employment increased by 165,000 jobs per month, according to the Bureau of Labor Statistics (BLS).
Lodging demand grew 2.3% year-over-year in Q4, compared with 1.6% in Q3. The solid demand gains pushed up occupancy by a half percentage point to 60.7% in Q4—the highest fourth-quarter occupancy level since STR began recording this metric in 1987.
The year-over-year number of available rooms nationally increased slightly by 1.7%. Rooms under construction grew 2.2% from the Q3 total to about 187,000 units, with another 150,000 rooms expected to open within 12 months.
Despite record occupancy, overall ADR growth was somewhat muted in Q4 at 2.6%. Economy hotels had the largest ADR growth at 3.2% in Q4 compared with a year earlier.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Dallas, is the world's largest commercial real estate services and investment firm (based on 2021 revenue). The company has more than 105,000 employees (excluding Turner & Townsend employees) serving clients in more than 100 countries. CBRE serves a diverse range of clients with an integrated suite of services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.
