STR, Tourism Economics 2020 RevPAR Forecast Lowest Since 2009
During this week’s American Lodging Investment Summit in Los Angeles, STR and Tourism Economics released data forecasting flat 2020 year-over-year growth in U.S hotel RevPAR. A zero-growth projection like this has been unheard of since 2009. In addition, supply is expected to outpace demand in growth, hindering ADR growth.
A recent issue plaguing the hotel industry is the coronavirus outbreak. With airtravel to and from China being restricted, cities such as New York, Seattle and Los Angeles popular among Chinese travelers, will suffer from this. It does not help that these 3 cities are all in STR’s Top 25 hotel markets which account for 44% of U.S. hotel room revenue.