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News & Information

  • US Hotel Industry Forecast Adjusts in Response to COVID-19 Winter Surge and Anticipation of Vaccines

    by Bram Gallagher, Ph. D. | Dec 17, 2020

    Q3 2020 Hotel Horizons®

    According to the recently released Q3 2020 edition of Hotel Horizons®, CBRE Hotels Research is forecasting an average national occupancy level of 44.4 percent during the first half of 2021. This measure increases to 55.7 percent during the year’s second half.

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  • When Will Convention and Group Demand Come Back?

    by Bram Gallagher, Ph. D. | Oct 26, 2020

    Read our latest ViewPoint report on the future for the lodging industry. 

    Key Takeaways
    - The return of group and business travel is a major factor in hotels’ recovery. A more remote workforce will demand more in-person connection through business travel and conventions.
    - From every $1 invested in business travel, firms realize $12.50 in incremental revenue. The elimination of business travel reduces profits by 17% in the first year.
    - Revenue per available room (RevPAR) in dense urban markets remains over 80% below 2019 levels. A key driver of recovery in these markets will be the return of corporate demand, which made up almost 50% of demand for upper tier properties in 2019.
    - Given the short-term nature of travel restrictions we expect a relatively quick, and strong, bounce back for the lodging industry, with occupancy reaching pre-COVID-19 levels in 2023 and nominal RevPAR reaching 2019 levels by 2024-2026 for upper tier hotels.
    - Safety concerns and corporate travel bans are primarily preventing the industry’s recovery.


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