Hospitality Sees Upscale Demand: High-income travelers drive luxury and upscale demand. ... Investor sentiment is strengthening, occupier demand is broadening, and disciplined development is reshaping supply.
Understanding the Scale: Data-Driven Demand Forecasting According to CoStar’s most recent hotel outlook, host markets should expect a rate-led surge, with ADR projected to increase between 20% and 45%, ... Digital & Distribution Agility Shorter booking windows demand synchronized response.
Convention and group demand have remained resilient, with many destinations reporting solid attendance and healthy booking activity through 2025. ... Tourism Economics has forecast an 8.2% decline in international overnight arrivals to the US in 2025.
STR demand share of 16.0% in July is nearing its pandemic era peak. STR demand increased again in July, up by 3.6% y/y outpacing the 0.3% decline in hotel demand. ... Competition from alternative lodging options continues to hamper hotel demand.
With rural locations accounting for 79% of searches for fall stays in the U.S., the demand for breaks surrounded by seasonal scenery is clear, and we hope HomeToGo’s Fall Foliage Index helps travelers ... and Top Trending Destinations Destinations in the U.S. account for two-thirds (68%) of searches for fall trips among American travelers — a +6% increase in comparison to 2024, according to HomeToGo demand
Shifting to our outlook for corporate demand, sluggish job growth may not have the same negative implications as it does for leisure demand. ... LARC forecasts 2025 U.S. Hotel EBTDA to decline (5.5)%, with margin erosion, and Hotel Values to decrease (4)%. For 2026, LARC forecasts U.S.
Step 2: Forecast Your Property with Logic, Not Guesswork Once you have market projections in place, turn the lens inward. ... Use year-to-date PORs (Per Occupied Room) and percentages from your financial statements to forecast non-room revenues and expenses.
CBRE expects inflation to remain higher for longer with the 2025 CPI growth forecast increasing 10 bps to 2.9% and the 2026 forecast increasing 30 bps to 3.0%. ... STR demand rose 5.6% in contrast to the 0.6% decline in lodging demand. STR share of total demand increased again in June to 14.6% compared with 13.9% in 2024 and up from 10.6% in 2019.
Given continued underperformance and elevated macroeconomic concerns, forecasted growth rates were lowered across the top-line metrics: demand (-0.6ppts), ADR (-0.5 ppts) and RevPAR (-1.1 ppts). ... Additionally, as the year has unfolded, we’ve seen rate growth converge closer with demand.
For example, CEOs from Marriott and Hyatt have reported shifts in booking patterns and travel demand. ... Specifically, hoteliers can adjust pricing strategies based on real-time demand by utilizing technology such as advanced forecasting tools.
SUPPLY-AND-DEMAND DYNAMICS AFFECTING HOTEL DEVELOPMENT In 2024, U.S. hotel occupancy remained identical to the 2023 level, while ADR exceeded previous levels. ... Based on available data from STR, the following table illustrates historical supply-growth data, coupled with our forecasts for 2025 through 2028.
The rate side remains strong with a slight downward shift to +1.3% for the year, while the primary reason for muted 2025 performance is demand, now forecasted to grow just +0.5% relative to 2024. ... Tourism Economics now forecasts substantial demand declines from Canada (estimated down 9% YoY for 2025), Mexico, EU countries, and APAC countries in 2025.
Key Takeaways: Economy After 1Q25’s forecast release, CBRE cut its 2025 GDP outlook to 1.3% from 1.9%. ... STRs demand increased 6.0%, well above the 0.3% contraction in traditional hotel demand. STR share of total demand increased again in May to 13.9% compared with 13.2% in 2024.
As leisure demand quickly recovered, corporate and group travel remained below the levels realized before the pandemic through 2023, with corporate travel ultimately becoming a smaller portion of the demand ... Group demand has since recovered, and visitation growth has stabilized to more normalized levels, as Visit Music City forecasts 2.3% growth in visitation over the next several years.
Travel companies including Delta Air Lines, Marriott International, and online travel agency Booking Holdings have withdrawn or revised their 2025 annual forecasts as U.S. demand softens.
Rather, it calls for sharper intelligence, more precise forecasting, and a reassessment of what profitability really means in 2025. ... That new baseline demands smarter benchmarking, more flexible staffing models, and tighter coordination between revenue and operational teams.
Following Memorial Day’s record forecast, AAA is seeing strong demand for road trips and air travel over Independence Day week. ... Best and Worst Times to Travel by Car Holiday Forecast Methodology Travel Forecast In cooperation with AAA, S&P Global Market Intelligence (SPGMI) developed a unique methodology to forecast actual domestic
Yet, market forecasters should keep in mind that those demand gains can be balanced by room supply in a market as well as the event’s accessibility to nearby (but external) markets. ... Assuming that economic and international travel conditions remain favorable in 2026, STR’s models indicate that U.S. markets are forecasted to have sizable monthly ADR premiums across World Cup host cities
Our current demand forecast shows a full recovery beyond 2019 levels by 2027/28. ... tariffs, and the long-term outlook for demand growth, we have prepared the following forecasts for the Manhattan lodging market through 2029.
As a result, our forecast expects RevPAR growth to decelerate significantly to 0.8%. ... despite softened lower-tier demand.