In 2005 Occupancy May Grow to 84.9%
Average Daily Room Rate to Exceed Year-2000
Peak Levels in 2005
NEW YORK, February 22, 2005 - According to the PricewaterhouseCoopers Hospitality & Leisure practice, strong local economic growth combined with an increase in business travel and international arrivals will lead to the continuation of robust revenue per available room (RevPAR) growth for Manhattan hotels in 2005 and 2006.
In 2004, Manhattan hotel occupancy increased by 7.3 occupancy points to 83.2 percent and average daily room rate (ADR) increased by 10.8% to $201.76, leading to RevPAR growth of 22.0 percent, compared to prior-year levels, according to Smith Travel Research.
In 2005, the Manhattan lodging market will continue to achieve impressive RevPAR growth as occupancy advances to 84.9 percent and ADR advances by 10.8 percent to $223.65 for a total RevPAR increase of 13.1 percent. In 2006, occupancy is expected to reach 85.1 percent, leading to ADR growth of 9.5 percent to $244.79.
In 2000, average daily room rate peaked at $222.60
and occupancy reached 83.7 percent.
|There are several reasons for this favorable
Cheryl L. Riporti
Hospitality & Leisure
300 Madison Ave.
New York, New York 10017
|Also See:||2004 Manhattan Hotel Market Overview - HVS International / NYU / June 2004|
|Unprecedented Turn-Around in Manhattan's Lodging Market Shows Resilience of New York City as World's Leading Business Center / February 2005|
|Manhattan's Lodging Industry Forecasted to Rebound in Occupancy and Average Daily Room Rate in 2002 / Aug 2001|