Hawaii’s Hotel Market Growth Leads Top US Markets

Hotels throughout Hawaii are having a good year.

Compared to the first nine months of 2018, hotels throughout the state are experiencing a 1.5 percent uptick in revenue per available room (RevPAR) and a 1.9 percent increase in their average daily rate (ADR.)

In fact, Hawaii hotels had higher RevPAR and ADR then all the other top markets in the United States for the first three quarters of 2019, according to the Hawaii Hotel Performance Report, which is published by the Hawai‘i Tourism Authority (HTA).

Statewide RevPar in Hawaii increased to $228 during the first three quarters of the year, while ADR rose to $281.

Meanwhile, year-to-date through September 2019, statewide hotel room revenues of $3.37 billion were similar to the same period in 2018. There were nearly 230,000 fewer available room nights(-1.5 percent) and slightly more than 226,000 fewer occupied room nights (-1.9 percent) compared to a year ago.

Several hotel properties across the state were closed for renovation or had rooms out of service for renovation during the first three quarters of 2019, according to the Hawaii Hotel Performance Report.

Luxury Class properties reported RevPAR of $433 (a 3.2 percent increase), with ADR at $560 ( a one percent increase). Occupancy for the luxury category was 77.4 percent, which is a 1.6 percentage increase.

Midscale and economy class hotels in Hawaii did not fare as well in 2019, reporting RevPAR of $144, a decrease of 2.6 percent, while ADR was $176, a drop of -0.7 percent. The occupancy rate for the midscale and economy category was 81.8 percent (a decline of 1.6 percentage points).

When compared to other top U.S. markets, the hotels of the Hawaiian Islands earned the highest RevPAR at $228 for the first nine months of 2019, followed by San Francisco/San Mateo at $211(+3.4 percent) and New York City at $207 (-3.2 percent).

Hawaii also led the U.S. markets in ADR at $281, followed by San Francisco/San Mateo at $254 (+4.3 percent) and New York City at $243 (-1.9 percent).

The Hawaiian Islands ranked third for occupancy at 81.3 percent, with New York City topping the list at 85.4 percent (-1.1 percentage points).

In terms of hotel results by county through the first nine months of 2019, Maui County hotels led Hawaii’s four island counties in RevPAR at $311 (up 4.0 percent), with ADR at $397 (+2.6 percent) and occupancy of 78.4 percent (+1.1 percentage points).

O‘ahu hotels earned slightly higher RevPAR of $201 (+0.9 percent), with ADR at $238 (+1.2 percent) and occupancy of 84.5 percent (-0.3 percentage points).

Hotels on the island of Hawaii reported RevPAR growth to $204 (+3.7 percent), with increases in both ADR to $264 (+2.7 percent) and occupancy of 77.1 percent (+0.8 percentage points).

Kaua‘i hotels’ RevPAR meanwhile decreased to $209 (-8.9 percent), with declines in both ADR to $284 (-1.8 percent) and occupancy of 73.6 percent (-5.7 percentage points).

This post was published by our news partner: TravelPulse.com | Article Source