US hotels to post another record year in 2018

The absolute values in those three key performance metrics were each the highest STR has ever benchmarked. The U.S. hotel industry also set records for supply (more than 1.9 billion room nights available) and demand (roughly 1.3 billion room nights sold). Based on percentage growth for the year, demand (+2.5%) outpaced supply (+2.0%).

“As projected in our first 2018 forecast back in January, U.S. hotels had a good, not great year,” said Amanda Hite, STR’s president and CEO. “Operating most of the year in a pretty favorable macroeconomic environment, the industry reached its highest-ever annual occupancy and grew RevPAR for the ninth year in a row—albeit at a rate lower than the long-term average. All classes recorded RevPAR gains, but the Upper Upscale and Upscale segments showed occupancy declines, and we expect this trend to continue throughout 2019.”