This site uses cookies to provide you with a more responsive and personalised service. By using this site you agree to our use of cookies. Please read our cookie notice for more information on the cookies we use and how to delete or block them.

Bookmark Email Print page

Hospitality Vision: US Performance Review 2011

Hospitality Vision: US Performance Review 2011

Background

Following a lengthy downturn, the US hotel industry entered a recovery in 2010, with gains continuing to strengthen as the year progressed. On the heels of a three year decline in occupancy and a two-year drop in revenue per available room (revPAR), occupancy in the US for the first 11 months of 2010 improved 5.7% compared to the same period in 2009. As a result, revPAR which experienced a record 16.6% decline in 2009, rose 5.4% year-to-November 2010 according to Smith Travel Research. In this edition of Hospitality Vision: US Performance Review, we review a selection of US markets and examine how they have performed in 2010.

Key findings

  • RevPAR rose 11.8% in November 2010, the strongest monthly performance since late 2005.
  • Of the 27 cities profiled, all but four of them saw revPAR rise in 2010, while a further five reported revPAR growth in excess of 10% including Boston, Denver, Miami, New Orleans and New York.
  • New Orleans was the clear winner in terms of revPAR growth as it soared 17.9% to $77. Following the oil spill in the Gulf during the spring of 2010, it is estimated that the gross revenue loss to the regional economy from 2011 – 2013 would be between $115 - $173 million. However, it appears that the demand for hotel rooms strengthened in 2010 due in part of an influx of cleanup workers into the area
  • In terms of absolute performance, New York came out on top in 2010, with the highest occupancy (81.2%), average room rates ($228) and revPAR ($185) in the US. Overall, the city reported a 14% rise in revPAR year-to-November 2010. The Mayor’s office reported that over 48.7 million people visited New York City in 2010, up 6.8% compared to 2009.

Download

Download  Hospitality Vision: US Performance Review 2011 (PDF)

Share this page

Email this Send to LinkedIn Send to Facebook Tweet this More sharing options
Follow:

Get in touch

More on Deloitte