HENDERSONVILLE, Tenn. — The U.S. hotel industry witnessed a notable growth in Revenue per Available Room (RevPAR), reaching 4.2 per cent for the week ending October 19, 2024. This growth was primarily fuelled by recovery efforts after Hurricanes Helene and Milton, Taylor Swift’s tour, and the Adobe MAX conference.
Northeastern U.S. hotels led the nation with a 12.9 per cent RevPAR increase, primarily due to a robust Average Daily Rate (ADR) increase of 7.6 per cent. New York City, particularly, stood out with a 16.6 per cent increase in RevPAR and an unprecedented occupancy rate of 93.7 per cent, the highest since 2019.
Midwestern and Southern U.S. hotels also experienced growth, with markets affected by recent hurricanes seeing growth due to displacement demand. However, Western region hotels saw a weekly RevPAR decrease of 4.1 per cent due to sharp declines in several cities.
Despite a slight decline in group demand for luxury and upper upscale hotels, all hotel types, led by luxury hotels, experienced growth for the second consecutive week.
On a global scale, excluding the U.S., RevPAR grew by 8.3 per cent with a 6.7 per cent ADR gain. Despite setbacks in Canada and China, several large countries, such as Japan, Italy, and Mexico, saw significant growth.
The industry anticipates a strong October and a decent November despite a shift in Thanksgiving and a slowdown during election week. The sector also expects additional boosts in RevPAR from upcoming Taylor Swift tour stops.
