The hotel occupancy rates, room revenues and employment numbers are nearing pre-pandemic levels amid a summer travel surge, the industry reported Wednesday.
The American Hotel and Lodging Association (AHLA) estimated in its Midyear State of the Hotel Industry Report that 63.4% of the nation’s 5.4 million guest rooms will be occupied this year, close to the 65.9% occupied in 2019.
That’s up from 43.9% in 2020 and 57.6% last year.
The industry group predicts room revenues will reach $188 billion by the end of this year, surpassing 2019’s $170.1 billion “on a nominal basis” and up from a historic low of $85.9 billion in 2020.
But adjusted for inflation, AHLA does not expect the real revenue per available room to exceed 2019 levels until 2025.
By the end of 2022, the group expects hotels to employ 1.97 million people — 84% of their pre-pandemic workforce of 2.36 million workers.
“After a tremendously difficult two and a half years, things are steadily improving for the hotel industry and our employees,” AHLA President & CEO Chip Rogers said in a statement, crediting the rebound to a summer travel surge that has seen hotels “welcoming back guests in huge numbers.”
Hotels are also projected in the report to generate nearly $43.9 billion in state and local tax revenues this year, up nearly 7% from $41.1 billion in 2019.
The report is based on forecasts and data from Oxford Economics, AHLA Platinum Partners STR, Avendra and Silver Partner JLL and surveys the industry commissioned from Morning Consult.
• Sean Salai can be reached at ssalai@washingtontimes.com.
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