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