U.S. hotel occupancy during the week of April 25 to May 1 remained relatively flat compared with the previous week, according to STR‘s latest data. Occupancy reached 57.1 percent, average daily rate was $108.80 and revenue per available room reached $62.13.
While the overall weekly data was stagnant, weekend occupancy rose modestly and came in above 70 percent for the fourth straight week.
However, the top 25 markets showed a lower occupancy level in aggregate with more properties reopening on top of lower demand.
Last week, STR reported that weekdays had grown the most over a four-week period versus a similar four weeks in March, suggesting increased business demand. The analysts then established an algorithm to select “business” hotels to act as a barometer. While the model is still being refined, these top 25 urban hotels saw their occupancy fall to 41 percent this week from their four-week average of 44 percent. Before this week, these hotels had seen stable occupancy over the fortnight. Overall, according to the Market Recovery Monitor, weekday demand fell across the U.S. with only 43 percent of markets reporting demand growth week over week compared to 51 percent a week ago. Orlando, Dallas and Cleveland (thanks to the NFL Draft) had the largest weekly increase this week. The slowdown in weekday demand was also noted among the three big demand states: Texas, Florida and California.
Among the top 25 markets, Tampa (72.4 percent) and Miami (70.8 percent) experienced the highest occupancy levels, while Boston (40.6 percent) and Minneapolis (41.4 percent) came in the lowest.
The aggregate occupancy for the top 25 markets (54.6 percent) was lower than all other markets on average, but ADR in the major markets ($117.38) was higher.