Quarterly Update: Hotel Market
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Hotel occupancy in Houston rose in September ’24 compared to September ’23, leading to an increase in revenue per available room (RevPAR). Additionally, the average daily rate (ADR), another key metric of financial health, saw an increase compared to last year.
Hotel occupancy fluctuates throughout the year, typically dropping in December and January before increasing during the spring and summer months. Occupancy averaged 62.2 percent in September ‘24, up from 59.5 percent in September ‘23. In the last five years, occupancy fell as low as 24.0 percent in April ’20, reflecting the impact of the COVID-19 pandemic. Peak occupancy was reached in July ’24 at 73.2 percent. Mid-year occupancy received a boost due to the May Derecho and Hurricane Beryl, as out-of-town utility crews needed places to stay while repairing the power grid, and families stayed in hotels until power was restored at home.
Improved occupancy boosted September ‘24 RevPAR to $76.93, up from $67.88 in September ‘23. A robust conference schedule and high-profile sporting events drove this strong performance.
Prepared by Greater Houston Partnership Research
Leta Wauson
Research Director
[email protected]
