U.S. Hotel Industry Witnesses Positive Growth for week ending 26 October

• The U.S. hotel industry sees a year-over-year increase in occupancy and revenue, with Tampa and New Orleans leading the way.
• Las Vegas and Minneapolis suffer declines in revenue per available room (RevPAR).

The latest report from leading real estate data provider CoStar revealed positive year-over-year growth for the U.S. hotel industry for the week ending 26 October 2024. The industry saw a 4.5% increase in occupancy to 69.0% and a 4.6% rise in the average daily rate (ADR) to $168.69. Revenue per available room (RevPAR), a key hotel performance indicator, also surged by 9.3% to $116.32.

Among the top 25 markets, Tampa stood out with the most significant occupancy increase of 28.1%, reaching 84.2% occupancy. This surge was primarily due to the demand for displacement following Hurricane Milton.

New Orleans experienced the highest increases in ADR and RevPAR, with rates soaring by 64.1% to $301.30 and 77.6% to $227.24, respectively. This remarkable performance was attributed to the influx of Taylor Swift’s Eras Tour visitors.

However, not all markets enjoyed success. Las Vegas and Minneapolis saw the steepest declines in RevPAR, falling by 7.9% to $196.40 and 6.5% to $86.31, respectively.