Canada’s hotel performance increased from the previous month, with February revenue per available room exceeding C$100 for the first time on record, according to STR's February data.
For the month (percentage change from 2019):
- Occupancy: 59.2 percent (+0.7 percent)
- Average daily rate: C$174.62 (+16.5 percent)
- RevPAR: C$103.33 (+17.3 percent)
In comparison, for January:
- Occupancy: 50.7 percent (+0.3 percent)
- ADR: C$167.96 (+14 percent)
- RevPAR: C$85.11 (+14.2 percent)
"Canada's hotel performance trends that emerged halfway through 2022 have remained incredibly consistent, and February was no exception," said Laura Baxter, CoStar Group's director of hospitality analytics for Canada. CoStar Group is the parent company of STR.
“Strong room rate growth across all segments and elevated transient demand, particularly on weekends, remain the main drivers of performance recovery,” Baxter said. “Group and weekday demand remained below pre-pandemic levels, with group occupancy down 12 percent from 2019. January and February typically tend to be slow months for the segment, so we can expect the index to improve as we move into high season for groups (April through November). We can also expect to see an improvement as international group travel reemerges throughout the year. Weekday occupancy, which can be used as a proxy for corporate travel demand, was down just 3 percent in February, signaling relative strength in the segment. The increased number of workers returning to office may prompt even more improvement for corporate demand.”
Top Markets
Among Canada's provinces and territories, Manitoba recorded the highest January occupancy level (70.4 percent), which surpassed the pre-pandemic comparable by 7.5 percent.
Among the major markets, Vancouver reported the highest occupancy level (74.4 percent), which was 2 percent above 2019.
New Brunswick (48.1 percent) saw the lowest occupancy among provinces, up 2.3 percent against 2019. At the market level, the lowest occupancy was reported in Edmonton, Alberta, (51.3 percent) which was 4.9 percent below the 2019 comparable.