STR Reports All Global Hotel Market Posts Positive Performance Gains, Except MEA Region

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The Americas

According to STR Global, the Americas region recorded positive results in the three key performance metrics when reported in U.S. dollars for February 2011.

The Americas region ended February with a 5.1-percent increase in occupancy to 56.2 percent, average daily rate was up 1.9 percent to US$102.19, and revenue per available room rose 7.1 percent for the month to US$57.48.

Among the key markets, Sao Paulo, Brazil, experienced the largest occupancy increase, rising 20.5 percent to 68.6 percent, followed by Montreal, Canada, with a 13.6-percent increase to 57.1 percent. Vancouver, Canada, which hosted the 2010 Winter Olympics 12-28 February 2010, reported the largest occupancy decrease, falling 33.5 percent to 56.8 percent, followed by Manitoba/Saskatchewan (-4.5 percent to 61.2 percent), and New York, New York (-3.6 percent to 67.9 percent).

Sao Paulo jumped 30.4 percent in ADR to US$133.99, reporting the largest increase in that metric, followed by San Francisco, California (+15.3 percent to US$144.88), and Los Angeles, California (+14.4 percent to US$128.51).

Vancouver posted the largest decreases in ADR (-43.0 percent to US$130.32) and RevPAR (-62.1 percent to US$74.06).

Five markets ended the month with RevPAR increases of more than 20 percent: Sao Paulo (+57.1 percent to US$91.95); Los Angeles (+26.1 percent to US$91.18); San Francisco (+25.2 percent to US$102.53); Montreal, Canada (+24.5 percent to US$72.84); and Ottawa (+20.3 percent to US$104.53).

Performances of key countries in February (all monetary units in local currency):

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Europe

The European hotel industry posted positive results in year-over-year metrics when reported in U.S. dollars, euros and British pounds for February 2011.

Year-over-year, February 2011 figures for Europe (U.S. dollars, euros and British pounds):



"All European subregions reported growth in occupancy and average room rates for the month", said Elizabeth Randall, managing director of STR Global. "As one of the top performers this month, Estonia and its capital Tallinn, which is a European City of Culture 2011, reported 37.2-percent revenue per available room increase. Despite the growth, Estonia reported only €24.26 RevPAR. Iceland, Lithuania and Malta also reported high RevPAR growth for the month, coming from a low base last year".

Highlights from key market performers for February 2011 include (year-over-year comparisons, all currency in euros):

• Athens, Greece, achieved the largest occupancy increase, rising 15.6 percent to 56.7 percent, followed by Dublin, Ireland (+11.0 percent to 61.4 percent), and Antwerp, Belgium (+10.8 percent to 65.7 percent).

• Malmo, Sweden, fell 12.9 percent in occupancy to 49.2 percent, reporting the largest decrease in that metric, followed by Salzburg, Austria (-11.9 percent to 43.1 percent).

• Four markets experienced average daily rate increases of more than 20 percent: Geneva, Switzerland (+29.7 percent to EUR242.30); Düsseldorf, Germany (+24.1 percent to EUR119.84); Istanbul, Turkey (+20.6 percent to EUR133.35); and Zurich, Switzerland (+20.1 percent to EUR186.13).

• Cologne, Germany (-14.1 percent to EUR93.24), ended the month with the only double-digit ADR decrease.

• Geneva jumped 39.6 percent in RevPAR to EUR162.53, reporting the largest increase in that metric, followed by Düsseldorf (+32.2 percent to EUR82.13) and Gothenburg, Sweden (+26.2 percent to EUR62.40).

• Cologne fell 24.1 percent in RevPAR to EUR57.33, reporting the largest decrease in that metric.

Performances of key countries in February (all monetary units in local currency):

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Asia/Pacific

Hotels in the Asia/Pacific region experienced increases in all three key performance metrics during February 2011 when reported in U.S. dollars.

In year-over-year measurements, the Asia/Pacific region's occupancy rose 3.3 percent to 63.5 percent, average daily rate increased 13.9 percent to US$147.23, and revenue per available room jumped 17.7 percent to US$93.49.

"The devastating natural disasters and the tragic losses of life and livelihoods currently dominate the region", said Elizabeth Randall, managing director of STR Global. "In local currency, Australia's hotels reported just a 0.1 percent RevPAR increase for February and a 1.5-percent increase for the first two months 2011. New Zealand reported a 2.4-percent RevPAR increase for the month and 0.8 percent year-to-date. Both countries saw drops in occupancy with slight average rate growth for the month and year-to-date. Japan, prior the tragic events in March, reported a 6.8-percent RevPAR increase for February and a 4.8-percent increase for the first two months this year, driven by improvements in occupancy and average rate".

Highlights from key market performers for February 2011 in local currency: (year-over-year comparisons)

• Beijing, China, experienced the largest occupancy increase, rising 13.8 percent to 45.8 percent, followed by Shanghai, China, with an 11.3-percent increase to 40.0 percent.

• Seoul, South Korea, fell 4.9 percent in occupancy to 72.4 percent, reporting the largest decrease in that metric.

• Hong Kong, China, achieved the largest ADR increase, rising 23.5 percent to HKD1686.08.

• New Delhi, India, posted the only ADR decrease, falling 1.2 percent to UNR10073.64.

• Four markets achieved RevPAR increases of more than 25 percent: Hong Kong (+29.5 percent to HKD1312.70); Shanghai (+26.5 percent to CNY302.75); Jakarta, Indonesia (+26.4 percent to IDR544064.03); and Beijing (+26.0 percent to CNY269.98).

• Melbourne, Australia, fell 2.1 percent in RevPAR to AUD135.74, reporting the largest decrease in that metric.

Performances of key countries in February 2011 (all monetary units in local currency):


Highlights from key market performers for February 2011: (year-over-year comparisons, all currencies in U.S. dollars)

• Two markets experienced ADR increases of more than 20 percent: Jakarta (+23.1 percent to US$90.91) and Hong Kong (+23.0 percent to US$216.30).

• New Delhi was the only market to report an ADR decrease, falling 1.2 percent to US$218.68.

• Three markets ended the month with RevPAR increases of more than 30 percent: Jakarta (+33.6 percent to US$61.48); Shanghai (+31.4 percent to US$45.98); and Beijing (+30.8 percent to US$41.01).

• None of the region's key markets reported RevPAR decreases for the month.

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Middle East/Africa

The Middle East/Africa region reported mixed performance results during February 2011 when reported in U.S. dollars.

The region's occupancy ended the month with a 12.6-percent decrease to 56.7 percent, its average daily rate rose 17.1 percent to US$188.53, and its revenue per available room went up 2.3 percent to US$106.92.

"This month we see the impact of the demonstrations and political changes across the Middle East and Northern Africa", said Elizabeth Randall, managing director of STR Global. "Northern Africa dropped substantially in occupancy as visitors stayed away. Egypt's occupancy dropped 78.5 percent to a monthly average of 15.9 percent. Across Lebanon, the recent collapse of the national unity government and the indictments by the Hariri tribunal have impacted the stability of the market and resulted in a drop in occupancy to a monthly average of 39 percent for February. In Bahrain, occupancy levels stayed at 61 percent, dropping only 17 percent. With the recent developments in Bahrain and the enforcement of a no-fly zone across Libya, the full impact of recent events remains to be seen".

Highlights among the region's key markets for February include (year-over-year comparisons, all currency in U.S. dollars):

• Abu Dhabi, United Arab Emirates, experienced the largest occupancy increase, rising 27.3 percent to 74.1 percent.

• Two markets posted double-digit occupancy decreases: Cairo, Egypt (-80.1 percent to 14.6 percent), and Beirut, Lebanon (-46.7 percent to 37.4 percent).

• Two markets achieved double-digit ADR increases: Cairo (+24.8 percent to US$157.42 and Cape Town, South Africa (+13.6 percent to US$174.75).

• Beirut fell 22.7 percent in ADR to US$187.05, reporting the largest decrease in that metric.

• Four markets experienced RevPAR increases of more than 15 percent: Abu Dhabi (+21.4 percent to US$164.22); Cape Town (+19.6 percent to US$128.35); Muscat, Oman (+18.7 percent to US$210.81); and Riyadh, Saudi Arabia (+17.4 percent to US$210.18).

Performances of key countries in February (all monetary units in local currency):

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