COVID impact
STR: Canada Hotel Performance Fell in January Amid Latest COVID Concerns
STR | February 23, 2022
HENDERSONVILLE, Tennessee — February 23, 2022 — Canada’s hotel industry reported lower monthly performance levels amid the latest pandemic concerns, according to STR’s January 2022 data. January 2022 (percentage change from January 2019) Occupancy: 32.4% (-35.9%) Average daily rate (ADR): CAD131.72 (-10.6%) Revenue per available room (RevPAR): CAD42.70 (-42.7%) “The Omicron wave and the restrictions that ensued placed added pressure on performance recovery in January,” said Laura Baxter, CoStar Group’s director of hospitality analytics for Canada. CoStar Group is the parent company of STR. “T...
COVID-19’s Impact on the Silicon Valley Lodging Market
John Berean | February 23, 2022
By John Berean, Noella Moon One of the main economic engines of the San Francisco Bay Area, Silicon Valley experienced tremendous growth during the last business cycle. Major companies such as Google, Apple, and Meta (formerly Facebook) have expanded their presence in recent years, which has historically translated to strong lodging performance. However, with the onset of the pandemic and a market-wide shift in policy toward remote working in 2020, hotels have been severely affected, particularly in terms of average rate. Moreover, the influx of new supply over the last several years has been significant, which has substantially heig...
Okay Covid, What’s Next?
Larry and Adam Mogelonsky | February 2, 2022
By Larry and Adam Mogelonsky We’ve all witnessed multiple waves of COVID-19. The effects on our businesses have been as expected, with last minute cancellations exacerbated by pandemic-related staff shortages. Corporate and group sales have not yet returned. It’s exhausting and disheartening to most every owner and operator. But there is light at the end of this tunnel. The Spanish Flu of 1918 petered out after about two years, and this occurred without any vaccinations (and a truly globalized economy mind you). It just may be that the Omicron variant we are currently experiencing is the ‘flameout’ of this pandemic bec...
Gloomy Picture for Business Travel, but a Small Ray of Hope
STR | September 17, 2021
With summer ending and the much-needed leisure travel surge waning, much of the industry’s attention and focus shifts to business travel. For true recovery to occur, the travel and hospitality industry needs to see business travel return to pre-pandemic levels. Unfortunately, the prospects for such a return do not appear good at the moment. The Delta variant continues to disrupt the reopening of economies in many parts of the world and, indeed, some countries are grappling with previously unseen levels of infections. The timelines for a full-time return to office, the indicator of the return of business travel, continue to get pushed ...
Hotels Projected to End 2021 Down $59 Billion in Business Travel Revenue
AHLA | September 15, 2021
WASHINGTON – September 15, 2021 – The hotel industry is projected to end 2021 down more than $59 billion in business travel revenue compared to 2019, according to a new report released today by the American Hotel & Lodging Association and Kalibri Labs. That comes after losing nearly $49 billion in business travel revenue in 2020. Business travel is the hotel industry’s largest source of revenue and has been slow to return since the onset of the pandemic. Business travel includes corporate, group, government, and other commercial categories. Business travel revenue is not expected to reach pre-pandemic levels until 2024. The ne...
Changing Landscape of Hospitality Employment
Doug Ramsthel | August 11, 2021
By Doug Ramsthel Last year, the pandemic put a chokehold on travel. Flights were cancelled, hotel rooms sat empty, and even if guests were checking in, they were staying isolated in their rooms. Now, people cannot wait to visit a new destination or a tried-and-true favorite. But the industry faces new challenges. Instead of a traveler shortage there is an employee shortage. To remain competitive, hotels and other hospitality businesses are having to up the ante with wage increases, improved benefits for salary employees and in some cases the extension of benefits to part-time hourly workers as well. A lot of industries have been able to...
Pandemic in the Rearview: Nashville’s COVID-19 Impact and Recovery
HVS | July 27, 2021
The COVID-19 pandemic was an unprecedented setback in Nashville’s growth, particularly within the lodging, convention, and tourism industries, similar to trends across the nation. According to STR, occupancy levels declined by 44% in 2020, while ADR contracted by 30%. This culminated in the lowest hotel performance metrics since STR began collecting data, with RevPAR dropping an extraordinary 61% in 2020. Full-service downtown hotels realized more precipitous drops in performance; occupancy levels plummeted to a low of roughly 27%, reflecting a 66% drop from 2019. ADR for these hotels contracted less substantially, ending the year down 17....
Reports: Nearly 500,000 Hotel Jobs Won’t Return by Year’s End, Room Revenue Will Be Down $44 Billion From 2019
AHLA | July 20, 2021
Findings Come as Hoteliers Meet with Congress to Call for Aid Download Reports Here and Here WASHINGTON – July 20, 2021 – Midway through 2021, a new report and state-by-state job loss breakdown released by the American Hotel & Lodging Association (AHLA) find that while leisure travel is starting to return, the hotel industry’s road to recovery from the pandemic is long and uneven, with urban markets disproportionately impacted. Industry projections have improved since January with the uptick in leisure travel, but the industry remains well below pre-pandemic levels. Key findings include: More than one in five d...
