2023: A Challenging Year for California’s Hotels

HotStats | August 24, 2023

The first half of 2023 proved to be a roller coaster for the California hotel industry, with varying performance across luxury, full-service, and select-service segments. The year started on a high note, especially for luxury hotels, before experiencing a dramatic decline in Q2 across all major areas, compared to the same period in 2022. Luxury hotels’ RevPAR saw a significant boost in Q1 of 2023 posting a 27.2% increase driven largely by a surge in occupancy of 12.1 percentage points. However, this trend was tempered in Q2 which saw a slight decline in occupancy and ADR resulting in a 3.4% drop in RevPAR compared with Q2 of 2022. How...