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
Domestic Business Travel Continues to Trend Toward Recovery
The Global Business Travel Association | August 13, 2020
Alexandria, VA (August 13, 2020) – GBTA member companies worldwide, report an emerging willingness to permit employees to engage in domestic business travel, according to the latest poll conducted between August 5-9, 2020, by the Global Business Travel Association (GBTA). Respondents to the poll; the 10th bi-weekly survey conducted among GBTA’s members since the onset of the coronavirus pandemic in February, continue to report virtually no willingness for employees to travel internationally, with 93% indicating the pandemic has curtailed all or most international business trips. By comparison, 74% of respondents report that the pandemi...
STR: U.S. Hotel Results for Week Ending 8 August
STR | August 13, 2020
HENDERSONVILLE, Tennessee—U.S. hotel performance data for the week ending 8 August showed slightly higher occupancy and room rates from the previous week, according to STR. 2-8 August 2020 (percentage change from comparable week in 2019): Occupancy: 49.9% (-32.6%) Average daily rate (ADR): US$100.88 (-24.9%) Revenue per available room (RevPAR): US$50.37 (-49.4%) U.S. occupancy has risen week over week for 16 of the last 17 weeks, although growth in demand (room nights sold) has slowed. Aggregate data for the Top 25 Markets showed lower occupancy (41.7%) and ADR (US$98.90) than all other markets. Norfolk/Virginia ...
STR: Canada Hotel Results for Week Ending 8 August
STR | August 13, 2020
HENDERSONVILLE, Tennessee—STR data for 2-8 August 2020 shows a continued steady rise in Canada’s hotel performance but the same significant level of year-over-year declines. In comparison with the week of 4-10 August 2019, the industry reported the following: Occupancy: -48.6% to 39.9% Average daily rate (ADR): -28.6% to CAD132.53 Revenue per available room (RevPAR): -63.3% to CAD52.85 British Columbia was the only province to reach a 50% occupancy level (50.2%). Two additional provinces reached a 40% occupancy level: Manitoba (42.4%) and Ontario (40.4%). Ottawa (38.9%), Edmonton (34.9%) and Vancouver (35....
STR, AirDNA Release Full Analysis of Hotels and Short-Term Rentals
STR | August 11, 2020
HENDERSONVILLE, Tennessee—The hotel industry has made promising weekly gains in occupancy since its low point of the COVID-19 pandemic, while short-term rentals are nearing last year’s levels in revenue per available room (RevPAR), according to a joint analysis of 27 global markets by STR and AirDNA. The full analysis is available at: https://str.com/whitepaper/covid-19-impact-on-hotels-and-short-term-rentals-airdna To measure the impact of the global pandemic on the two hospitality segments, STR and AirDNA analyzed performance of traditional hotels, hotel-comparable short-term rentals (studios and 1-bedroom units) and larger short-...
Hotel Demand and GDP Have a Strong Correlation and That’s a Problem
HotStats | August 10, 2020
Among the many delicious scenes from the movie “Goodfellas” is one where the characters of Ray Liotta and Joe Pesci burn down a restaurant because its credit has run out, putting an end to their graft. “And then finally, when there’s nothing left, when you can’t borrow another buck from the bank, you bust the joint out. You light a match.” What does this have to do with a hospitality-focused blog? It serves two functions. 1) Whenever you can introduce a “Goodfellas” quote into an article, you do it. 2) Substitute a hotel in for a restaurant, and a lot of owners right now might have the same inclination—figuratively, of co...
Baird/STR Hotel Stock Index Declines 1.7% in July to 3,010
Baird | August 10, 2020
HENDERSONVILLE, Tennessee, and MILWAUKEE—The Baird/STR Hotel Stock Index decreased 1.7% in July to a level of 3,010. Year to date through the first seven months of 2020, the stock index was down 42.9%. “Hotel stocks underperformed again in July as industry-wide occupancy growth continued to moderate on a weekly sequential basis,”said Michael Bellisario, senior hotel research analyst and director at Baird. “Investors remain focused on the impact of rising coronavirus case counts on broader travel trends, and prior optimism about the prospects for business travel to return in a meaningful way this fall has faded.” “RevPAR decl...
Latin America’s Hotel Construction Pipeline Shows Continuing Decline at the Close of Q2’20*
Lodging Econometrics (LE) | August 10, 2020
August 10, 2020 – PORTSMOUTH, NH - Analysts at Lodging Econometrics (LE) state in the Q2’20 Latin America Hotel Construction Pipeline Trend Report, that the total construction pipeline stands at 681 projects/118,936 rooms, down 4% by projects and rooms, year-over-year (YOY). Projects presently under construction stand at 345 projects/61,622 rooms, up 7% by projects and 10% by rooms, YOY. Projects scheduled to start construction in the next 12 months are at 196 projects/36,562 rooms. Projects in the early planning stage have experienced the sharpest decline, down 23% by projects and 34% by rooms YOY, settling in at 140 projects/20,752 ...
Fitch Ratings: New Single-Borrower Hotel CMBS Ratings Unlikely Due to Sector Performance
Fitch Ratings | August 6, 2020
Significant hotel sector performance deterioration as a result of the coronavirus pandemic and recession make the assignment of ratings to new US commercial mortgage-backed securities (CMBS) single-asset single-borrower (SASB) hotel transactions unlikely at this time, Fitch Ratings says. The duration of the pandemic is uncertain, which limits the visibility of short-term performance and precludes the assignment of Stable Outlooks. Fitch discusses hotel sector pressures in its latest report New Ratings Unlikely for U.S. Single-Borrower Hotel CMBS due to Coronavirus-Related Volatility. A sustainable recovery in the lodging sector depends on...
STR: U.S. Hotel Results for Week Ending 1 August
STR | August 6, 2020
HENDERSONVILLE, Tennessee—U.S. hotel performance data for the week ending 1 August showed slightly higher occupancy and room rates from the previous week, according to STR. 26 July through 1 August 2020 (percentage change from comparable week in 2019): Occupancy: 48.9% (-34.5%) Average daily rate (ADR): US$100.04 (-25.3%) Revenue per available room (RevPAR): US$48.96 (-51.1%) U.S. occupancy has risen week over week for 15 of the last 16 weeks, although growth in demand (room nights sold) has slowed. Aggregate data for the Top 25 Markets showed lower occupancy (41.4%) and ADR (US$97.58) than all other markets. Norf...
STR: Canada Hotel Results for Week Ending 1 August
STR | August 6, 2020
HENDERSONVILLE, Tennessee—STR data for 26 July through 1 August 2020 shows a continued steady rise in Canada’s hotel performance but the same significant level of year-over-year declines. In comparison with the week of 28 July through 3 August 2019, the industry reported the following: Occupancy: -49.2% to 38.4% Average daily rate (ADR): -28.8% to CAD129.74 Revenue per available room (RevPAR): -63.8% to CAD49.86 Two provinces reached a 40% occupancy level: British Columbia (48.2%) and Manitoba (43.1%). Ottawa (37.2%), Edmonton (34.5%) and Vancouver (33.5%) were the only major markets at or above the 30% mark. The lo...
Capsolve Announces Enhanced Research Program and Industry Services
Capsolve | August 6, 2020
Nokomis, FL 8/6/2020 - Capsolve, a leading provider of Research and Services, has released its first series of research reports as a complimentary resource to the industry. The reports include an overview of the software, services and equipment that exist within the Central Reservations, Sales & Catering, Revenue Management, COVID-19 Mitigation, Digital Ordering and Mobile categories. As part of Capsolve’s complete research program, inquiries may be fielded for nearly any category of interest, such as PMS, POS and the many others displayed in the Capsolve Industry Solution Maps. View the Research Since the beginning of the y...
A Tale of Two Occupancies: Total Room Inventory vs. STR Standard
STR | August 4, 2020
Occupancy has long been one of the key hotel performance metrics measured by STR. Reported on both a monthly and weekly basis, occupancy is easily calculated by dividing rooms sold (demand) by rooms available (supply), providing a straightforward representation of the percentage of rooms occupied during a given time period. However, even this traditional metric has not escaped the impacts of COVID-19. Voluntary and mandated hotel closures have caused a fundamental shift in the way we record and report supply, and thus, a new occupancy metric has been born. The status quo In normal times, and in alignment with USALI guidelin...
Tourism Tidbits: Travel Rage in a Time of Pandemics
Peter E. Tarlow | August 3, 2020
By Dr. Peter Tarlow During the last decade, tourism officials have noted the evolution of various types of angers among those in the general public and especially among those in the traveling public. These angers first became apparent in the form of road rage then became air-rage, morphed into full-blown travel rage, with verbal anger at times turning into physical violence. Now in a time of pandemic, with the public never sure about what is and will be open or closed, we face the newest form of rage: “Travel Pandemic Rage”. Due to an ever-increasing tourism bureaucracy and often poor levels of customer service som...
Marriott, Hilton, and IHG Continue to Dominate the U.S. Hotel Construction Pipeline at Q2’20 Close*
Lodging Econometrics | July 31, 2020
July 31, 2020 – PORTSMOUTH, NH – In the recently released quarterly United States Construction Pipeline Trend Report from Lodging Econometrics (LE), the franchise companies with the largest construction pipelines at the end of the second quarter of 2020 are Marriott International with 1,487 projects/195,952 rooms, followed by Hilton Worldwide with 1,395 projects/160,078 rooms, and InterContinental Hotels Group (IHG) with 920 projects/94,499 rooms. Combined these three companies account for 68% of the projects in the total pipeline; roughly the same percentage as the Q1’20 close. Hilton’s Home2 Suites and IHG’s Holiday Inn Expre...
U.S. Travel Reacts to Economic Plunge
The U.S. Travel Association | July 31, 2020
WASHINGTON (July 31, 2020)—U.S. Travel Association Executive Vice President for Public Affairs and Policy Tori Emerson Barnes issued the following statement on the record plunge in U.S. GDP announced Thursday morning: “This morning’s news of a 32.9% Q2 contraction is evidence that this economy is not going to be able to make it up off the mat without bold action by Congress to provide significant and meaningful relief. “The travel industry, which helped employ one in 10 Americans last year, has been hit hardest by the economic fallout of the pandemic—having lost half its jobs already and on track for a drop of more than a half...
Canada’s Hotel Construction Pipeline Continues to Expand Year-Over-Year*
Lodging Econometrics | July 31, 2020
July 31, 2020 – PORTSMOUTH, NH - According to analysts at Lodging Econometrics (LE), Canada’s hotel construction pipeline continued to expand at the close of Q2’20 with 296 projects/39,645 rooms. The construction pipeline is up 8% by projects and 11% by rooms, year-over-year (YOY). All stages of the pipeline have experienced increases, YOY. Projects under construction stand at 98 projects/12,255 rooms, up 7% by projects and 10% by rooms. Projects scheduled to start construction in the next 12 months includes 107 projects/12,530 rooms, both up 13%, and projects in the early planning stage stand at 91 projects/14,860 rooms, up 6% and ...
STR: Canada Hotel Results for Week Ending 25 July
STR | July 30, 2020
HENDERSONVILLE, Tennessee—STR data for 19-25 July 2020 shows a continued steady rise in Canada’s hotel performance but the same significant level of year-over-year declines. In comparison with the week of 21-27 July 2019, the industry reported the following: Occupancy: -54.6% to 35.4% Average daily rate (ADR): -30.5% to CAD126.07 Revenue per available room (RevPAR): -68.4% to CAD44.66 Two provinces reached a 40% occupancy level: British Columbia (46.1%) and Manitoba (41.8%). Ottawa (32.6%) and Vancouver (32.2%) were the only major markets at or above the 30% mark. The lowest occupancy among provinces was reported in...
STR: U.S. Hotel Results for Week Ending 25 July
STR | July 30, 2020
HENDERSONVILLE, Tennessee—U.S. hotel performance data for the week ending 25 July showed slightly higher occupancy and room rates from the previous week, according to STR. 19-25 July 2020 (percentage change from comparable week in 2019): Occupancy: 48.1% (-37.9%) Average daily rate (ADR): US$99.24 (-27.3%) Revenue per available room (RevPAR): US$47.75 (-54.8%) U.S. occupancy has risen week over week for 14 of the last 15 weeks, although growth in demand (room nights sold) has slowed. Aggregate data for the Top 25 Markets showed lower occupancy (40.8%) and ADR (US$97.32) than all other markets. Norfolk/Virginia Bea...
Wyndham Hotels & Resorts Reports Second Quarter 2020 Results
Wyndham Hotels & Resorts | July 29, 2020
PARSIPPANY, N.J., July 28, 2020 - Wyndham Hotels & Resorts (NYSE: WH) today announced results for the three months ended June 30, 2020. Highlights include: Diluted loss per share was $1.86, and adjusted diluted earnings per share was $0.10. Net loss was $174 million for the second quarter and adjusted net income was $9 million. Adjusted EBITDA was $63 million. System-wide rooms remained flat year-over-year. Global comparable RevPAR declined 54% year-over-year. Paid quarterly cash dividend of $0.08 per share. "We generated positive adjusted EBITDA in the second quarter, driven by our drive-to and le...
STEP Act Would Provide Needed Relief for Travel Employers
U.S. Travel Association | July 29, 2020
WASHINGTON (July 29, 2020)—U.S. Travel Association Executive Vice President for Public Affairs and Policy Tori Emerson Barnes issued the following statement on introduction of the Sustaining Tourism Enterprises During the COVID-19 Pandemic (STEP) Act (S. 4299): “Protection, relief and stimulus for travel-related businesses needs to be a significant priority in order for the broader economy to recover, and the bipartisan STEP Act introduced in the Senate includes a number of crucial measures for employers to hold on until they can rehire and help fuel an economic turnaround. “The grants the bill would provide through the Economic D...
Impact of COVID-19 on Global Tourism Made Clear as UNWTO Counts the Cost of Standstill
July 28, 2020
The enormous toll of COVID-19 on international tourism has now become clear, with World Tourism Organization (UNWTO) data showing the cost up to May was already three times that of the 2009 Global Economic Crisis. As the situation continues to evolve, the United Nations specialized agency has provided the first comprehensive insight into the impact of the pandemic, both in tourist numbers and lost revenues, ahead of the upcoming release of up-to-date information on travel restrictions worldwide. The latest edition of the UNWTO World Tourism Barometer shows that the near-complete lockdown imposed in response to the pandemic led to a 98 per ...
For the Fourth Consecutive Quarter, Los Angeles Leads the U.S. Hotel Construction Pipeline at the Close of Q2’ 20*
Lodging Econometrics | July 28, 2020
July 28, 2020 – PORTSMOUTH, NH - In the recent report released by Lodging Econometrics (LE), at the close of the second quarter of 2020, the top five U.S. markets with the largest total hotel construction pipelines are Los Angeles, leading for the fourth consecutive quarter, with 163 projects/27,415 rooms; followed by Dallas with 158 projects/19,314 rooms; New York City with 151 projects/26,302 rooms; Atlanta with 135 projects/18,634 rooms; and Houston with 122 projects/12,486 rooms. Despite these top five markets being located in states that have been heavily impacted by COVID-19, combined, they still account for 15% of the rooms in the ...
STR: Canada Q2 2020 Hotel Performance
STR | July 27, 2020
HENDERSONVILLE, Tennessee—Due to the impact of the COVID-19 pandemic, the Canadian hotel industry reported all-time lows in the three key performance metrics during Q2 2020, according to data from STR. Compared with Q2 2019: Occupancy: -71.4% to 19.4% Average daily rate (ADR): -36.4% to CAD106.66 Revenue per available room (RevPAR): -81.8% to CAD20.72 The absolute occupancy and RevPAR levels were the lowest for any quarter in STR’s Canada database. In absolute values, April was Canada’s lowest month of the quarter for each of the three metrics: occupancy (14.0%), ADR (CAD100.94) and RevPAR (CAD14.13). The country saw...
COVID-19 Causes Modest Shifts in 2020-21 School Break Calendars
STR | July 27, 2020
HENDERSONVILLE, Tennessee—While questions remain regarding the return of in-person learning in schools throughout the U.S., STR’s annual School Break Report shows only modest shifts in academic calendars for the upcoming year. The report summarizes vacation break dates in 2020-21 for a robust sample of U.S. public K-12 school districts, colleges and universities. As a result of COVID-19 shifts in previously approved calendars, STR implemented extra measures to ensure the accuracy of 2020-21 calendar data with additional information included regarding e-learning (remote) scheduling and other specialized data points. “Aside from the...
