TORONTO — HVS has released its Canadian Lodging Outlook for the first quarter of 2016, predicting positive results for the year.
According to the report, the Canadian lodging industry is on course to set another RevPAR record in 2016, with a forecast RevPAR of $95. Nationwide ADR growth, projected to grow by $5 to $149 in 2016, is expected to be the main driver of this growth.
HVS also predicts increased room supply will continue to surpass occupancy growth in the country.
Although the national outlook is positive, the performance of individual markets will be varied. In Vancouver, strong demand growth is expected to drive occupancy levels to 78 per cent, an increase of one percentage point from 2015. Calgary, on the other hand, is projected to experience a drop in occupancy to 60 per cent, down from 64 per cent in 2015. However, the Calgary market is expected to experience a turnaround in 2017.