US hotel occupancy inches down to 21%

Rate last week was 70 percent lower than a year ago, but ticked up in NY

National /
Apr.April 15, 2020 02:20 PM
Four Seasons at 30 Park Place and Trump Hotel & Tower at 1 Central Park West (Credit: iStock, 30 Park Place, Trump Hotels) 

Four Seasons at 30 Park Place and Trump Hotel & Tower at 1 Central Park West (Credit: iStock, 30 Park Place, Trump Hotels)

The hotel industry’s nightmare continued last week as occupancy nationwide dipped to a meager 21 percent.

The country’s occupancy rate for the week ending April 11 was one point worse than a week ago and 70 percent lower than a year ago, according to the hospitality data firm STR. Revenues per available room, or RevPAR, declined nearly 84 percent from the same time last year to $15.61.

If there were any bright side to the news, it was that the nadir may have been reached.

“There was not much of a change from last week. As we’ve noted, RevPAR declines of this severity are our temporary new normal,” STR senior vice president Jan Freitag said. “Several weeks of data also point to occupancy in the 20% range to be the low point, and economy hotels holding at a higher occupancy level is the pattern right now.”

In New York, last week’s occupancy rate of 24.8 percent was actually higher than the previous week’s of 18.3 percent, which STR said was likely attributable to an influx of first responders and medical workers. Still, it was nearly 72 percent worse than it was in the same week a year ago.

Revenue per available room in New York was $31.67 last week, a decline of nearly 77 percent from $136 at the beginning of March.

Hotel owners are already seeking assistance on their mortgages as travel and tourism in the country have ground to a virtual halt.

In Los Angeles, occupancy dropped more than 74 percent to a rate of a little more than 21 percent, and RevPAR declined about 85 percent to $22.78.

Chicago saw occupancy decline about 78 percent to a rate of nearly 18 percent, and RevPAR fell 90 percent to $12.78.

Miami had an occupancy rate of roughly 20 percent – a drop of nearly 76 percent from the same time a year earlier. RevPAR declined about 90 percent to $18.02.

Contact Rich Bockmann at [email protected] or 908-415-5229


Related Articles

arrow_forward_ios
Rendering of the Meadowlands Sports Arena with Convention Center (Meadowlands 2040 Foundation)
Convention center planned near American Dream mall
Convention center planned near American Dream mall
Just-sold Shelter Island hotel borrows $17M for transformation
Just-sold Shelter Island hotel borrows $17M for transformation
Just-sold Shelter Island hotel borrows $17M for transformation
Ty Warner and Four Seasons 57 East 57th Street (Getty, Google Maps)
Ty Warner’s Four Seasons Hotel sues tenant over $2.7M of missed rent
Ty Warner’s Four Seasons Hotel sues tenant over $2.7M of missed rent
Trump nearing $370M sale of DC hotel to Miami investment firm
Trump nearing $370M sale of DC hotel to Miami investment firm
Trump nearing $370M sale of DC hotel to Miami investment firm
Hotel Association sues city over severance pay mandate
Hotel Association sues city over severance pay mandate
Hotel Association sues city over severance pay mandate
Pandemic paralysis: Delta continues to impede hotel, restaurant recovery
Pandemic paralysis: Delta continues to impede hotel, restaurant recovery
Pandemic paralysis: Delta continues to impede hotel, restaurant recovery
Trump’s DC hotel lost $70M during presidency
Trump’s DC hotel lost $70M during presidency, docs say
Trump’s DC hotel lost $70M during presidency, docs say
Wyndham CEO Geoff Ballotti and Marriott CEO Anthony Capuano (Getty, Wyndham, Marriott)
Hotel companies increasingly turning to all-inclusive resorts
Hotel companies increasingly turning to all-inclusive resorts
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...