COVID-19’s Impact on the Denver Lodging Market

HVS | October 7, 2020

Amid a worldwide pandemic, the lodging industry is facing a downturn that is greater than the past two lodging-market declines combined. During the Great Recession, Metro Denver’s  occupancy fell roughly eight points from 65% in 2008 to 57% in 2009; this year, we forecast occupancy to drop from the 2019 benchmark of roughly 74% to 42%, reflecting a 32-point correction. Average rate declined from $106 in 2008 to $93 in 2009, a 12% drop; this year, we forecast ADR to fall 30% ($135 to $96). Denver – 2020-2023 Forecast Source: STR (Historical Years) and HVS (Forecast) Major factors contributing to our forecast are summarized as follo...