HENDERSONVILLE, Tenn. -- American hotels had a pretty good year in
2000, as the lodging business hit a triple with increases in
occupancy, average rate and revenue per available room, according
to Smith Travel Research, an industry tracking firm.
Occupancy climbed slightly from 1999 levels to 63.5% for the
year, which was the first full-year gain in occupancy since 1995.
Average rates rose 4.9% to $85.24 and revenue per available room
(RevPAR) climbed 5.5% to $54.15.
The three-pronged assault drove industry revenues to more than
$79 billion, an increase of 8.7% over 1999.
Helping the cause was a slowdown in new room construction: Room
supply grew only 3.1% in 2000, down 24% from 1999.
Meanwhile, room demand climbed 3.7%, compared with growth of 3%
in 1999.
Smith Travel Research also released its performance figures for
December, a month in which California hotels did particularly well
compared with December 1999.
Three Golden State markets posted double digit increases in
RevPAR. San Francisco hotels showed a 27.5% increase in RevPAR in
December 2000, as compared with December 1999, and San Diego was
second with a growth rate of 20.4%. Anaheim also performed well,
posting a growth rate of 15.3%.
The increases are attributable to double digits increases in
occupancy in all three markets. Average rates also climbed,
particularly in San Francisco, which reported a 13.6% climb in
average rate compared with December 1999, to $143.44. San Diego had
an average rate of $96.23, up 6.3% from a year ago.
Nationwide occupancy for the month was 48.2%, according to Smith
Travel Research, up from 47%, and the national average rate was
$82.46, an increase from $79.60 in December 1999.