Hotel Industry Performance Americas

Hotel Industry in the Central/South America Region Reports 4.5 Percent RevPAR Increase for Full Year 2016

Occupancy: drops -4.3% to 55.6% - ADR increases +9.3% to US$94.69

Hotels in the Central/South America region reported mixed performance for total-year 2016 when reported in U.S. dollar constant currency, according to data from STR.

U.S. dollar constancy currency, year-over-year comparisons:

Central/South America region

  • Occupancy: -4.3% to 55.6%
  • Average daily rate (ADR): +9.3% to US$94.69
  • Revenue per available room (RevPAR): +4.5% to US$52.64

Local currency, year-over-year comparisons:

Brazil

  • Occupancy: -6.8% to 52.9%
  • ADR: +5.5% to BRL313.15
  • RevPAR: -1.7% to BRL165.54

Brazil’s full-year ADR was aided greatly by the Rio Olympics. For the year, Rio de Janeiroposted a 22.3% ADR increase to BRL556.47, but a 12.8% drop in occupancy to 52.6%.

Brazil’s occupancy has declined for three consecutive years, due in large part to an influx of supply: 2014 (+2.7%), 2015 (+3.2%) and 2016 (+4.1%). That supply growth is expected to continue as Brazil’s current development pipeline represents 14.9% of its existing supply.

Colombia

  • Occupancy: +2.7% to 58.3%
  • ADR: +4.4% to COP264,765.51
  • RevPAR: +7.3% to COP154,324.81

STR analysts note that Colombia’s strong year was driven primarily by the first six months of 2016, when the country recorded double-digit RevPAR growth. Bogotá hotels recorded double-digit RevPAR growth (+10.7%) for the year, with a 6.2% increase in occupancy to 56.8% and a 4.2% rise in ADR to COP288,875.50.

Peru

  • Occupancy: -3.8% to 62.7%
  • ADR: +0.9% to PEN454.77
  • RevPAR: -2.9% to PEN285.34

While overall performance for the year was down, Lima hosted APEC Peru 2016 in November, which drove the country’s RevPAR up 20.8% for that month. In December, however, Peru recorded a 10.0% year-over-year RevPAR decline.

Lima recorded a 3.2% decline in occupancy for the full year, at an actual level of 67.9%, while ADR increased 2.0% to PEN498.31.

Download the Global Performance Review

STR provides clients from multiple market sectors with premium, global data benchmarking, analytics and marketplace insights. Founded in 1985, STR maintains a presence in 10 countries around the world with a corporate North American headquarters in Hendersonville, Tennessee, and an international headquarters in London, England. For more information, please visit str.com.



Logos, product and company names mentioned are the property of their respective owners.