According to a new economic impact report conducted by Oxford Economics, Denver's hospitality industry continues to serve as a powerful engine for growth and opportunity. The report details the Denver hotel industry's far-reaching economic impact, finding that hotels generate nearly $7 billion in economic activity, support 34,000 jobs, and contribute $1.1 billion in federal, state, and local tax revenue.
In this sixth annual Lodging Tax Study, HVS Convention, Sports, and Entertainment Consulting surveys lodging tax rates and revenues across the United States. Our study includes a broad range of cities and tracks policy trends in lodging tax impositions. This research identifies the lodging tax rates levied at the state, county, city, and special district levels. We provide data on the collection and distribution of revenue from lodging taxes levied in all 50 States and the 150 largest cities in the United States.
While declining values, debt maturity and tight credit access, and stalled construction may continue to plague commercial real estate in the United States for the remainder of 2010, economic indicators point towards the potential for economic recovery this year. For investors, this environment reveals a window of opportunity in 2010 when investment in distressed assets may prove to be opportune, according to Deloitte's Perspectives on Real Estate: Uncovering Opportunity in a Distressed Market, released today.
The Canadian economy still has a long road back to recovery and hoteliers should expect a bumpy ride, according to Avery Shenfeld, chief economist at CIBC World Markets. Shenfeld delivered a state of the industry presentation during the Hotels Association of Canada’s 2010 Annual Conference at the Fairmont Royal York in Toronto.
The total active U.S. hotel development pipeline includes 4,384 projects with 475,521 rooms, according to the August 2009 STR/TWR/Dodge Construction Pipeline Report released this week. This represents a 2.5-percent decrease in the number of rooms in the total active pipeline compared to July 2009 and a 27.9-percent decrease compared to August 2008. The total active pipeline data includes projects in the In Construction, Final Planning and Planning stages, but does not include projects in the Pre-Planning stage.
The U.S. hotel industry posted declines in all three key performance measurements during the week of 9-15 August 2009, according to data from STR. In year-over-year measurements, the industry’s occupancy fell 6.9 percent to end the week at 63.9 percent. Average daily rate dropped 9.9 percent to finish the week at US$96.70. Revenue per available room for the week decreased 16.2 percent to finish at US$61.80.
RevPAR declines are expected to continue into the convention season according to STR’s revised monthly forecast. The company also revised its forecasts for year-end 2009 and 2010.
The U.S. hotel industry posted declines in all three key performance measurements during the week of 26 July-1 August 2009, according to data from STR. In year-over-year measurements, the industry’s occupancy fell 6.4 percent to end the week at 66.5 percent. Average daily rate dropped 9.6 percent to finish the week at US$97.48. Revenue per available room for the week decreased 15.5 percent to finish at US$64.86.
The Canadian hotel industry posted decreases in all three key performance measurements during the week 26 July-1 August 2009, according to data from STR. In year-over-year measurements, the industry’s occupancy fell 4.5 percent to end the week at 69.9 percent. Average daily rate dropped 8.8 percent to finish the week at CAD$120.06. Revenue per available room for the week decreased 12.9 percent to finish at CAD$88.18.
The U.S. hotel industry posted declines in all three key performance measurements during June, according to data from STR. In year-over-year measurements, the industry’s occupancy fell 9.7 percent to end the month at 61.3 percent. Average daily rate dropped 9.9 percent to finish the month at US$96.77. Revenue per available room for the month decreased 18.6 percent to finish at US$59.34.
While the national recession continued into the first half of 2009, the Chicago hotel industry, as with many major cities throughout the United States, continued to experience shrinking demand. Looking to the second half of 2009, some evidence suggests that the recession may be nearing an end and the pace of decline may be moderating in the hotel industry. This article examines several of the historical trends and future sources of supply and demand that are expected to shape the city of Chicago’s hotel industry performance during the next three to four years. Additionally, we present findings from our survey of hotel managers throughout Chicago. Based on this data, HVS developed projections of hotel demand, supply, and performance through 2012.
The U.S. hotel industry posted declines in all three key performance measurements during May, according to data from STR. In year-over-year measurements, the industry’s occupancy fell 11.8 percent to end the month at 55.7 percent. Average daily rate dropped 9.8 percent to finish the month at US$97.03. Revenue per available room for the month decreased 20.4 percent to finish at US$54.05.
The U.S. hotel industry average daily rate reached a record high, ending 2008 at US$106.55, but Pre-Tax Income Profits for the year were down 7.9 percent to US$25.8 billion, according to STR’s Hotel Operating Statistics (HOST) Study.
This morning, the economic research firm e-forecasting.com, in conjunction with STR, announced that following a decline of 1.1 percent in April, HIP declined 1.3 percent in May. HIP, the Hotel Industry Pulse index, is composite indicator that gauges business activity in the U.S. hotel industry in real-time. The latest decrease brought the index to a reading of 83.1. The index was set to equal 100 in 2000.
The U.S. hotel industry posted declines in all three key performance measurements during the week of 17-23 May 2009, according to data from STR. In year-over-year measurements, the industry’s occupancy fell 11.1 percent to end the week at 59.4 percent. Average daily rate dropped 9.3 percent to finish the week at US$98.31. Revenue per available room for the week decreased 19.4 percent to finish at US$58.39.
The silverlining of an economic downturn is the great buying opportunity it creates for those with capital to invest. This down cycle is developing into what will probably become one of the best times to acquire hotels since 1991. The difference this time is the current recession wasn't preceded by overbuilding. Because the hotel industry is facing only a demand problem, and not oversupply of rooms that first needs to be absorbed. The Questions I'm asked the most by hotel buyers are: "When is the best time to buy? When will I get the most for my money? Should I hold off untill the prices really tank? How much will hotel values fall? How fast will they recover?". Let's try to asnwer these important questions.
The U.S. hotel industry posted declines in all three key performance measurements during April, according to data from STR. In year-over-year measurements, the industry’s occupancy fell 11.1 percent to end the month at 56.4 percent. Average daily rate dropped 9.4 percent to finish the month at US$98.37. Revenue per available room for the month decreased 19.5 percent to finish at US$55.48.
The U.S. hotel industry posted declines in all three key performance measurements during the week of 29 March-4 April 2009, according to data from STR. In year-over-year measurements, the industry’s occupancy fell 9.9 percent to end the week at 56.2 percent (62.3 percent in the comparable week in 2008). Average daily rate dropped 9.0 percent to finish the week at US$98.79 (US$108.59 in the comparable week in 2008). Revenue per available room for the week decreased 18.0 percent to finish at US$55.49 (US$67.68 in the comparable week in 2008).
Hotel owners and management companies are accelerating efforts to fortify cash positions in a bid to survive the current downturn and to strategically position their businesses for mid-term and long-term growth, according to a survey by Ernst & Young LLP. "Many hotel enterprises have identified and continue to identify ways to more closely manage costs. They are intensifying their focus and practices around risks and controls, with an objective of emerging from the current downturn stronger. Those that are effective will remain competitive in the short-term, and will attract more capital and accelerate their growth in the next up-cycle," says Michael Fishbin, National Director, Ernst & Young LLP Hospitality Services Group.
The U.S. hotel industry posted declines in three key performance measurements during the week of 22-28 March 2009, according to data from STR. In year-over-year measurements, the industry’s occupancy fell 12.3 percent to end the week at 56.6 percent (64.6 percent in the comparable week in 2008). Average daily rate dropped 8.8 percent to finish the week at US$99.77 (US$109.34 in the comparable week in 2008). Revenue per available room for the week decreased 20.0 percent to finish at US$56.50 (US$70.61 in the comparable week in 2008).