by Calculated Risk on 7/14/2022 12:57:00 PM

From CoStar: STR: Weekly US Hotel Performance in Post-Holiday Lull

As expected on the negative side of a holiday calendar shift, U.S. hotel performance came in lower than the previous week, according to STR‘s latest data through July 9.

July 3-9 2022 (percentage change from comparable week in 2019*):

• Occupancy: 63.3% (-14.5%)
• Average daily rate (ADR): $153.71 (+15.7%)
• Revenue per available room (RevPAR): $97.37 (-1.1%)

Whereas the previous week’s percentage changes were elevated on the favorable side of the calendar shift, the most recent week was skewed downward due to a comparison with a non-holiday week in 2019. After two consecutive weeks of lower demand around the Fourth of July holiday, the metrics are expected to strengthen for the remaining weeks of July.

*Due to the pandemic impact, STR is measuring recovery against comparable time periods from 2019.
emphasis added

The following graph shows the seasonal pattern for the hotel occupancy rate using the four-week average.

Click on graph for larger image.

The red line is for 2022, black is 2020, blue is the median, and dashed light blue is for 2021.  Dashed purple is 2019 (STR is comparing to a strong year for hotels).

The 4-week average of the occupancy rate is at the median rate for the previous 20 years (Blue).

Note: Y-axis doesn't start at zero to better show the seasonal change.

The 4-week average of the occupancy rate will increase further over the Summer.