STR: February U.S. Hotel Rates and Occupancy Climb

Average U.S. hotel revenue per available room and daily rates in February 2023 again topped pre-pandemic benchmarks, while occupancy saw a slight month-over-month increase, according to hospitality analytics firm STR.

For the fourth consecutive month, STR reported “continued improvement in business travel and groups” among its top 25 markets in February, citing higher ADR and occupancy than other markets.

In February, overall U.S. hotel RevPAR was $91.22—a significant month-over-month increase from $75.01 in January—and up 14.3 percent over 2019 levels. ADR in February was $152.01, up from $142.14 the month prior and up 17.7 percent from 2019.

February U.S. hotel occupancy was 60 percent, an increase from 52.8 percent the month prior and down 2.8 percent from 2019 levels.

Among STR’s top 25 markets, Tampa had the highest occupancy level in February at 82.7 percent, which was down 2.7 percent from 2019. U.S. cities on the list with the lowest occupancy levels for the month were Chicago at 50.1 percent and St. Louis at 52.7 percent.

San Francisco’s occupancy in February decline most sharply among the top 25, down 28.4 percent from 2019 levels.

Angelique Platas www.businesstravelnews.com