Here’s How COVID-19 Has Altered USALI Financial Reporting
HotStats | June 22nd, 2020
The Middle East’s Ghastly Hotel Numbers in April Could Be the Bottom
HotStats | June 3rd, 2020
STR: U.S. Hotel Results for Week Ending 2 May
STR | May 6, 2020
HENDERSONVILLE, Tennessee—STR data for 26 April through 2 May 2020 showed slightly higher U.S. hotel occupancy compared with previous weeks, but the same significant level of year-over-year decline in the three key performance metrics. In comparison with the week of 28 April through 4 May 2019, the industry recorded the following: Occupancy: -58.5% to 28.6% Average daily rate (ADR): -44.0% to US$74.72 Revenue per available room (RevPAR): -76.8% to US$21.39 Previous weekly U.S. absolute occupancy: April 19-25 2020: 26.0% April 12-18 2020: 23.4% April 5-11 2020: 21.0% “Week-to-week comparisons showed a third ...
STR: Florida, Texas Lead Weekend Hotel Occupancy Gains
STR | May 6, 2020
HENDERSONVILLE, Tennessee—Led by Florida and Texas, 13 STR-defined submarkets showed greater than 10-point weekend vs. weekday occupancy gains for the week ending 2 May, according to data from STR. “The first ‘real weekend’ with eased COVID-19 restrictions showed an obvious jump in hotel demand, especially in popular, warm-weather leisure spots,” said Jan Freitag, STR’s senior VP of lodging insights. “Whether or not this becomes a trend remains to be seen, but the fact that there were people instantly willing to head out for leisure activity and stay in hotels is a positive sign for the industry. We have maintained througho...
The Los Angeles Market Continues to Lead the U.S. Hotel Construction Pipeline at the Close of the First Quarter of 2020*
Lodging Econometrics | April 30, 2020
April 30, 2020 – PORTSMOUTH, NH - Analysts at Lodging Econometrics (LE) report that at the close of the first quarter of 2020, the top five U.S. markets with the largest total hotel construction pipelines are: Los Angeles with 166 projects/27,752 rooms; Dallas with 164 projects/19,999 rooms; New York City with 152 projects/26,111 rooms; Atlanta with 143 projects/19,423 rooms; and Houston with 132 projects/13,316 rooms. Nationally, under construction project counts hit a new all-time high with 1,819 projects with 243,100 rooms. Markets with the greatest number of projects already in the ground are led by New York City with 108 projects/1...
STR: U.S. Hotel Results for Week Ending 25 April
STR | April 30, 2020
HENDERSONVILLE, Tennessee—Reflecting the continued impact of the COVID-19 pandemic, the U.S. hotel industry reported significant year-over-year declines in the three key performance metrics during the week of 19-25 April 2020, according to data from STR. In comparison with the week of 21-27 April 2019, the industry recorded the following: Occupancy: -62.2% to 26.0% Average daily rate (ADR): -42.9% to US$73.61 Revenue per available room (RevPAR): -78.4% to US$19.13 Year-over-year declines were less steep than previous weeks due to a comparison with the time of Passover in 2019. Additionally, absolute occupancy rose slightly ...
STR: Canada Hotel Results for Week Ending 25 April
STR | April 30, 2020
HENDERSONVILLE, Tennessee—Showing further COVID-19 impact, the Canadian hotel industry recorded steep year-over-year declines in the three key performance metrics during the week of 19-25 April 2020, according to data from STR. In comparison with the week of 21-27 April 2019, the industry reported the following: Occupancy: -76.9% to 15.0% Average daily rate (ADR): -32.2% to CAD101.22 Revenue per available room (RevPAR): -84.4% to CAD15.14 Among the provinces and territories, Quebec experienced one of the largest drops in occupancy (-87.7% to 7.9%), which pushed the steepest decrease in RevPAR (-91.6% to CAD8.20). Newfoun...
100% of Global Destinations Now Have COVID-19 Travel Restrictions, UNWTO Reports
The World Tourism Organization (UNWTO) | April 29, 2020
The COVID-19 pandemic has prompted all destinations worldwide to introduce restrictions on travel, research by the World Tourism Organization (UNWTO) has found. This represents the most severe restriction on international travel in history and no country has so far lifted restrictions introduced in response to the crisis. Following up on previous research, the latest data from the United Nations specialized agency for tourism shows that 100% of destinations now have restrictions in place. Of these, 83% have had COVID-19-related restrictions in place already for four or more weeks and, as of 20 April, so far no destination has lifted them. ...
New Report Shows Severity of COVID-19 Impacts on Hotel Industry
AHLA | April 23, 2020
Washington D.C. (April 23, 2020) — As COVID-19 continues to devastate the hotel industry, the American Hotel & Lodging Association (AHLA) released new data today showing that 70 percent of hotel employees have been laid off or furloughed as eight in 10 hotel rooms across the nation remain empty. As this crisis progresses beyond what anyone could have projected, the impact to the travel industry is nine times worse than 9/11, with forecasted occupancy rates for 2020 hitting record lows worse than rates in 1933 during the Great Depression. “With the impact to the travel industry nine times worse than September 11, the human toll o...
STR: Canada Hotel Results for Week Ending 18 April
STR | April 23, 2020
HENDERSONVILLE, Tennessee—Showing further COVID-19 impact, the Canadian hotel industry recorded steep year-over-year declines in the three key performance metrics during the week of 12-18 April 2020, according to data from STR. In comparison with the week of 14-20 April 2019, the industry reported the following: Occupancy: -77.7% to 12.8% Average daily rate (ADR): -31.8% to CAD101.23 Revenue per available room (RevPAR): -84.8 to CAD13.00 Among the provinces and territories, Quebec experienced the largest drop in occupancy (-90.0% to 6.2%), which resulted in the steepest decrease in RevPAR (-92.9% to CAD6.47). British Col...
Will the Covid-19 Pandemic Presage Another Once-a-Decade Contraction in Tourism?
Yong Chen | April 23, 2020
By Yong Chen A difficult time on the horizon Had the novel coronavirus not occurred, 2019 would have been hailed as another year of stellar growth in the global tourism industry. The strongest growth would have been recorded in the Asia-Pacific region not only as a tourist-generating region but also as a destination. In particular, China had propelled the global tourism growth in terms of both tourist numbers and spending over the past decade. Chinese outbound spending outstripped that of the United States in 2012, and by 2018, Chinese tourist spending amounted to US$277 billion. A McKinsey study estimates that Chinese outbound spending was...
STR: U.S. Hotel Performance for Q1 2020
STR | April 22, 2020
HENDERSONVILLE, Tennessee—Affected late in the first quarter by the COVID-19 pandemic, the U.S. hotel industry reported significant declines in the three key performance metrics during Q1 2020, according to data from STR. In a year-over-year comparison with Q1 2019, the industry posted the following: Occupancy: -15.9% to 51.8% Average daily rate (ADR): -4.0% to US$123.76 Revenue per available room (RevPAR): -19.3% to US$64.14 The absolute occupancy level was the lowest for the industry since the time of the global financial crisis in Q1 2009. The year-over-year decline in the metric was the worst for any quarter on record. ...
STR: U.S. Hotel Performance for March 2020
STR | April 21, 2020
HENDERSONVILLE, Tennessee—In its first month with a visible impact from the COVID-19 pandemic, the U.S. hotel industry reported double-digit declines in the three key performance metrics during March 2020, according to data from STR. In a year-over-year comparison with March 2019, the industry posted the following: Occupancy: -42.3% to 39.4% Average daily rate (ADR): -16.5% to US$110.66 Revenue per available room (RevPAR): -51.9% to US$43.54 Among the Top 25 Markets, San Francisco/San Mateo, California, experienced the steepest drop in occupancy (-62.2% to 30.2%), which resulted in the largest decrease in RevPAR (-72.3% to ...
HVS COVID-19 Impact on Lodging Tax Revenues
Thomas Hazinski | April 17, 2020
By Thomas A. Hazinski & Joseph Hansel HVS modeled the anticipated RevPAR declines during the COVID-19 pandemic. Based on patterns of recovery following the two most recent recessions, we projected the lodging tax revenues of 24 urban markets in the United States. Comparing these projections to a baseline scenario without the pandemic, HVS estimates combined losses of 24 major U.S. markets could range from $4.0 to $5.5 billion of lodging tax revenues. Lodging tax losses of this magnitude will force bondholders, destination marketing organizations, and other stakeholders to consider steps such as debt refinancing or seeking alternati...
STR: Canada Hotel Results for Week Ending 11 April
STR | April 16, 2020
HENDERSONVILLE, Tennessee—Showing further COVID-19 impact, the Canadian hotel industry recorded steep year-over-year declines in the three key performance metrics during the week of 5-11 April 2020, according to data from STR. In comparison with the week of 7-13 April 2019, the industry reported the following: Occupancy: -81.2% to 12.0% Average daily rate (ADR): -33.8% to CAD101.34 Revenue per available room (RevPAR): -87.6% to CAD12.17 Among the provinces and territories, Quebec experienced the largest drop in occupancy (-90.5% to 6.2%), which resulted in the steepest decrease in RevPAR (-93.8% to CAD6.38). Ontario repo...
Coronavirus: Hotel Real Estate in a Turbulent Macro-Economic Environment
Jochen de Peuter | April 14, 2020
By Jochen de Peuter Would you invest your money and time in a hotel project? Once more, the world is hit by a crisis, a pandemic this time, which affects all world economies. Many industries are suffering in particular the hotel industry. What is the problem of hotels and hotel real estate in times of Covid19 virus? Hotels are a capital-intensive business and require a lot of capital to build, buy, maintain, operate or renovate. In particular, a luxury hotel project on a favourable location, such as big city centres or top tourist destinations, require a big wallet. Secondly, any new hotel project or hotel renovation consume a lot of ti...
Next Round of Coronavirus Relief: What the Travel Industry Needs
The U.S. Travel Association | April 13, 2020
WASHINGTON (April 13, 2020)—All but shut down by the coronavirus pandemic, the U.S. travel industry submitted a fresh list of urgent policy requests to Congress to protect the 15.8 million Americans whose livelihoods depend on travel. At the top of the list: adding $600 billion to the Paycheck Protection Program (PPP) and expanding eligibility to small businesses that were previously left out; and ensuring loan forgiveness can cover both payroll and other operating expenses during the shutdown. A key example of small businesses that were unintentionally excluded from the PPP under the CARES Act: local and regional destination marketin...
The Impact of COVID-19 on the Global Lodging industry, 2020 – Major Players Using Loyalty Schemes to Create Value for Their Customer Base and In
April 8, 2020
DUBLIN - The "Impact of COVID-19 on the Global Lodging industry: Hot Topic Brief - Issue 1" report has been added to ResearchAndMarkets.com's offering. COVID-19, commonly referred to as the Coronavirus, is dominating headlines the world over. The travel & tourism sector is suffering significant disruption and the lodging industry is very much impacted. This report provides insight into the current state of play, offers a look at potential future scenarios, and assesses the actions that lodging operators can take to mitigate the impact of COVID-19. Key Highlights Major players in the lodging industry are using their respecti...
U.S and Canada Waterpark and Resort Trends in 2020
David J. Sangree | April 8, 2020
By David J. Sangree At the beginning of 2020, the continuing trend of two decades of growth was expected in the waterpark industry. Major projects will open throughout the United States in both the indoor and outdoor waterpark categories totaling over $1 billion in investment in 2020. Fourteen new standalone waterparks and one resort with outdoor waterpark are anticipated to open. The indoor segment will total square feet of new waterpark space in 17 properties. However, the recent outbreak of the COVID-19 pandemic has thrown the industry into uncertainty in 2020. This article reflects the projected growth for the waterpark industry as it ...
COVID-19 and Hospitality: Why Attracting Millennial Travelers Is Essential to Your Hotel’s Recovery Plan
Nicole Dehler | April 1, 2020
By Nicki Dehler "This too shall pass" is a sentiment that surely everyone can take comfort in right now, and one which hoteliers especially should keep in mind. The continued spread of COVID-19 has taken the world by storm, and has seemingly overwhelmed the hospitality industry. As the fear of transmission continues to surge, our communities are banding together, as new emergency regulations urge us to self-isolate and avoid all non-essential travel. Currently, the timeline for a return to normalcy is anything but guaranteed: Will this 'new normal' last for a month, or three, or for the majority of 2020? While we cannot change our cu...
Hotel Sales Teams: Two Sales Tasks You Can Do This Week to Get Ready for the Rebound
Doug Kennedy | March 31, 2020
By Doug Kennedy For most hotels in North America, the sales team is entering week three of the Covid19 disruption. The first week or so was just crazy, as salespeople from all market segments endured a frantic wave of cancelations and postponements. Just as that wave was starting to pass, most sales leaders had to make the difficult move of furloughing or laying off sales staff to pare down the payroll costs. As we begin week three, those who are still working are finding new challenges in taking over tasks usually done by support staff or colleagues from other departments who are now not available. Soon enough though, most salespeop...
STR: Lima’s Daily Hotel Occupancy Falls to as Low as 12.9%
STR | March 31, 2020
BOGOTÁ—As the impact of COVID-19 broadens in South America, Lima’s daily hotel occupancy fell to as low as 12.9% on 19 March, according to preliminary data from STR. That occupancy level came one day after the Peruvian government imposed a nightly curfew to combat the spread of COVID-19. STR’s most recent data for 22 March showed that just 13 of 100 rooms on average were occupied in the city. “Despite the fact that corporate tourism is not strong during January and February, daily occupancy in Lima was as high as 70.1% on 19 February,” said Patricia Boo, STR’s area director for Central/South America. “The market’s daily...
COVID-19 Business Disruptions: What’s in Store for the Hospitality Industry?
Avik Bhattacharya | March 31, 2020
By Avik Bhattacharya The COVID-19 pandemic is dealing a crippling blow to the hospitality and aviation industry. International borders are being closed, nationwide curfews have been implemented, flights have been grounded and some hotels are forced by law to close temporarily. The number of reservations is rapidly going down and revenue losses for the entire Indian hospitality industry are currently estimated between USD 5.5 billion to USD 6.2 billion. It is anticipated that the hospitality industry could take years to recover from the COVID-19 pandemic and the situation will likely get worse before it gets better. Companies that have ...
U.S. Hotel RevPAR Forecasted to Drop 50.6% for 2020
STR | March 30, 2020
HENDERSONVILLE, Tennessee—Due to the impact from the COVID-19 pandemic, the U.S. hotel industry is projected to report a 50.6% decline in revenue per available room (RevPAR) in 2020, according to a special forecast revision from STR and Tourism Economics. “The industry was already set for a non-growth year, now throw in this ultimate ‘black swan’ event, and we’re set to see occupancy drop to an unprecedented low,” said Jan Freitag, STR’s senior VP of lodging insights. “Our historical database extends back to 1987, and the worst we have ever seen for absolute occupancy was 54.6% during the financial crisis in 2009. With roug...
STR: Canada Hotel Results for Week Ending 21 March
STR | March 27, 2020
HENDERSONVILLE, Tennessee—Showing further COVID-19 impact, the Canadian hotel industry recorded negative year-over-year results in the three key performance metrics during the week of 15-21 March 2020, according to data from STR. In comparison with the week of 17-23 March 2019, the industry reported the following: Occupancy: -65.0% to 21.4% Average daily rate (ADR): -16.9% to CAD120.82 Revenue per available room (RevPAR): -70.9% to CAD25.84 Among the provinces and territories, Quebec experienced the largest decline in occupancy (-75.5% to 15.0%) and the steepest drop in RevPAR (-77.8% to CAD19.94). Prince Edward Island p...
SPECIAL REPORT: COVID-19 Profit Impact on Asia Markets
HotStats | March 26, 2020
The extent to which the coronavirus has impacted the global hotel industry is now coming into focus based on new data from HotStats, which provides further transparency in terms of the damaging impact of the disease on travel and, by extension, on hotel profitability. Beyond the virulence of the virus, this much is sure: property budgets are rendered useless, guidance is ineffective and market context is all the industry can truly rely on now to gain an understanding of the breadth of the virus’ impact. For the hotel industry specifically, picture the coronavirus’ influence on hospitality as a jigsaw puzzle: China is the first piece...
