March saw some fluctuation in occupancy in the local hotel market, ending the month at 66.5%, a 2.5% loss, while ADR remained flat year-over-year at $122. Weekday performance in the market saw gains in ADR, averaging $123, a 1% increase, and $2 higher than weekend ADR at $121.

Year to date, we continue to see an upward trend in major KPIs compared to the same time period last year. ADR saw a 5.5-point gain at $120, while RevPAR and Revenue experienced a 5.1% and 5.7% gain.

March Submarket Comparison:

Major KPIs varied across the Houston market for the month of March.

  • The Houston CBD/Downtown submarket saw a 1.2% gain in occupancy at 68%, while ADR remained flat year-over-year at $238. RevPAR also saw an increase to $162 and revenue increased 4.6% compared to the same time last year.
  • The Houston Hobby Airport/NASA submarket showed increases across the board, with a 1.3% increase in occupancy at 68.7% and an almost 1% increase in ADR and revenue.
  • The Houston Galleria/Greenway Plaza submarket saw the highest overall occupancy rates for the Houston market at 70.5%. ADR ended the month at $180 and RevPAR ended at $127.

Driving performance:

While Spring Break led to many locals heading out of town, the Houston market held relatively strong year-over-year due to the presence of some major conferences downtown as well as the Houston Rodeo. CERAWeek the week of March 17th, for example, drove gains for the CBD and Galleria/Greenway submarkets, pushing occupancy rates above 80% downtown.

Written by Megan Henson 

Domestic Tourism
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