Hawaii's hotel industry was busy producing more positive indicators in March, including a 2.7% year-over-year increase in revenue per available room, to a statewide average of $122.43 a night. That gain is the first monthly RevPAR increase across Hawaii since March 2008.
According to a recently released Hospitality Advisors and Smith Travel Research survey, hotel occupancy was 70.6% in March, up 5.4% from the same period last year.
"After 24 consecutive months of room revenue losses, the rise in monthly occupancy during March was finally able to outpace room discounting for a modest revenue gain," said Joseph Toy, president and CEO of Hospitality Advisors.
Occupancy was up across the Islands during the first quarter of 2010, rising 4.1% over last year, to 70.8%, and has now increased in two consecutive quarters. Hawaii hotels earned $630.8 million in room revenue in Q1 2010, off only .7% from 2009's totals.
However, first-quarter average daily rates were down again across Hawaii, falling 7.5% year over year, to $175.18.
Hawaii had the third-highest first-quarter occupancy, ADR and RevPAR in the U.S. market, finishing behind only New York City and Miami in all three categories.
"The first-quarter results are encouraging as confidence continues to slowly rebuild in the [Hawaii] market," Toy said. "Not only have we seen a recovery in visitor arrivals, but we are also seeing some hopeful signs in some of our higher-yielding market segments, including honeymooners, the Japan market and independent travelers."
RevPAR on Oahu was $108.88 a night in March, up 5.6% year over year. Occupancy there increased 6.4% over last year, to 76%, but average daily rates dropped 3.3%, to $143.26.
Maui RevPAR was $167.58, climbing 5.1%, while occupancy on the Valley Isle was 72.4%, up 9.7% from March 2009. ADR there fell 9% year over year, to $231.47 a night.
Occupancy on the Big Island inched up 1% in March, to 57.9%. ADR there declined 3.9%, to $181.86, while RevPAR was $105.30, off 2.3% year over year.
Kauai's March occupancy dropped 5.8%, to 56.7%, while ADR on the Garden Isle slipped 4.4%, to $186.07 a night. RevPAR there was $103.64, sinking 13.5% from March 2009.
