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The absolute ADR and RevPAR levels are the highest for any December in STR’s London database. STR analysts note that although there was a slight decline in occupancy, London saw nine nights 90% and higher in the metric, likely due to Christmas festivities.
STR analysts note that multiple events helped push performance levels for the month: the PGA Tour Presidents Cup (9-15 December) and the Boxing Day Test match (26-30). New Year’s Eve also helped performance, with occupancy at an absolute level of 87.3% and ADR reaching AUD303.27 – the highest daily rate for the month.
Preliminary STR data from December shows Abu Dhabi hotel occupancy dipped 0.6% to 77.1%, ADR rose 6.4% to 509.10 Emirati dirhams ($138.63) and RevPAR increased 5.8% to 392.64 dirhams ($106.91).
UK hoteliers face a tough year in 2020 with a growth in rooms supply increasing competition and dampening revenues, despite underlying demand remaining strong.
A negative profit turn for U.S. hotels in October gave way to robust growth in November, as GOPPAR climbed 6.1% year-over-year, the second-highest increase of 2019, according to data from HotStats.
At the start of the current year (2019), the prescribed view of many industry pundits, including ours at HVS, was that of optimism due to the strong performance witnessed in 2018 that was propelled by the ongoing widening of the demand-supply gap.
From 29 December to 4 January, U.S. hotel occupancy climbed 0.3% to 49%, ADR rose 4% to $136.46 and RevPAR increased 4.3% to $66.84.
Canadian hotel occupancy fell 0.4% to 42.7% during the week of 29 December to 4 January, ADR dipped 0.3% to 166.14 Canadian dollars ($127.14) and RevPAR decreased 0.7% to CA$71.01 ($54.34).
Hotels in Mainland Europe are generating revenue and keeping more of it. After what’s been a rather bruising year on the profit side, November marked the third consecutive month of year-over-year GOPPAR gains for hotels in the region, according to data from HotStats.
The European hotel industry remains robust with strong fundamentals, albeit with certain areas of concern and pockets of opportunity across the continent. With the IMF forecasting 1.5% GDP growth for the European Union in 2019, the European economy will be recording its seventh year of expansion in the current economic cycle.