HVS Annual Hotel Market Connections Conference Series Highlights Improvements in Hotel Performance, Demand
The annual HVS Hotel Market Connections conference series produced by HVS’s Hotel Consulting & Valuation division revealed overall positive trends in supply, demand, performance, and transaction dynamics in top North American hotel markets. Nationwide, occupancy hit a new high in July 2015, surpassing the prior peak set two decades earlier. As demand continues to outpace new supply across the U.S., the upward trend is expected to continue through 2018. As of September, more than 3,500 hotels—approximately 430,000 rooms—were in the planning or construction stages of development in the U.S. For major hotel transactions (representing a price of $10 million or higher), 993 properties totaling 155,275 rooms were sold through the trailing-twelve-month period ending in June 2015. At approximately $250,000, the average price per room has reached an all-time high for these major transactions.