The US weekly hotel occupancy reached its maximum level since late February last year as per the latest data of STR via May 29, 2021. This issue is boosted by the Friday and Saturday of Memorial Day weekend. The latest results about the US hotel industry were skewed as the holiday, the 83% occupancy level on the holiday weekend’s Saturday was the highest level in the country since October 2019 right before the pandemic began. The overall average daily rate and the revenue per available room were increased to the highs in the pandemic era. The overall holiday travel improved in numbers, but habitation is the strongest since previous to the crisis.
Focus on the hotel industry
As per the end of the last month, occupancy was 61.8% which is down 4.2% from the same week in 2019. The average daily rate was $122.06 which was down 1.6%. The entire revenue per available room was $75.42 which was down 5.7%. As per the latest reports, STR noted that the positives around the leisure demand are successfully strong headed into the summer. The complete path to recovery remains a good roller coaster without any business travel in the international and domestic level. This issue prevents hotels in different markets especially from making up over the ground lost in 2020.
Phoenix was only top 25 Market to successfully report the double-digit occupancy for increasing more than a couple of years ago. San Francisco and San Mateo saw the steepest reduction in the occupancy when entirely compared with the same year. Based on the daily rate marks, Miami posted the maximum increase over 2019 after Phoenix that is $125.71 based on the 27.4%.
A notable growth rate in the hotel sector
STR saw gross operating profit for the United States hotels reaching 60% when compared to the level a couple of years ago as per the April 2021 monthly P & L data release of STR. The labour spending was up to 64% in April subsequent to coming in at 60% the last month.
In the US hotel sector, April was an encouraging month because the maximum top-line enhancement. A qualified team has been reporting properly on flowed via the bottom line. An assistant director of financial performance of STR Raquel Ortiz revealed the growth issues in the hotel sector since pandemic began. The overall 92% of sample hotels of this team were profitable as per GOP.