Miami hotels report dreary 2016: STR

Miami/Hialeah and Houston were the only markets in top 25 to show declines in three key metrics

Jan.January 23, 2017 03:00 PM

Miami area hotels reported declines in average rates, occupancy and revenue per available room in 2016, amid Zika, rising supply and competition from vacation rentals, a new released report shows.

In Miami/Hialeah, occupancy decreased 2.7 percent to 75.9 percent; the average room rate dropped 2.9 percent to $189.77 and revenue per available room fell 5.5 percent to $143.95 in 2016, STR reported.

Miami/Hialeah and Houston were the only markets in the top 25 to show declines in all three metrics.

Last year, a large swath of Miami Beach was temporarily declared a Zika zone; new hotel openings added to room supply, including East, Miami and Atton Brickell Miami; and vacation rentals like Airbnb grew in popularity.

Overall, 20 of the top 25 markets analyzed by STR recorded year-over-year revenue per available room growth for the year.

In absolute values, New York recorded the highest levels in occupancy (85.9 percent), average room rate ($259.14) and revenue per available room ($222.54). — Ina Cordle

Related Articles

Fontainebleau Miami Beach (Top), Diplomat (Left), and Boca Raton Resort (Right)

SoFla hotels face $4B CMBS debt exposure

Ken Griffin and the Four Seasons Resort Palm Beach (Credit: Larry Busacca/Getty Images)

Ken Griffin operating trading room at the Four Seasons Palm Beach during hotel closure

Jay Sakalo and Jaime Sturgis

South Florida commercial real estate closings face delays and cancellations due to coronavirus economic meltdown

From left: Eden Roc and BLT Prime Trump National Doral (Credit: Acroterion/Wikipedia, and Trump International Hotels Management LLC)

Trump National Doral restaurant, Eden Roc hotel lay off hundreds

From left: Miami Beach Mayor Dan Gelber, and Miami-Dade Mayor Carlos Gimenez (Credit: Twitter, Ryan Holloway/ Armando Rodriguez Miami-Dade County Photographers, and iStock)

All hotels, short-term rentals in Miami-Dade ordered to shut down due to coronavirus

Clockwise from left: the Acqualina, the Biltmore and the Diplomat (Credit: Google Maps)

Diplomat, Acqualina, Biltmore hotels closing amid coronavirus

A photo illustration of Key West (Credit: iStock)

All hotels and short-term rentals to shut down in Florida Keys

South Beach Miami (Credit: iStock)

Miami hotels prepare for layoffs and other budget cuts as occupancy plummets