Hotel Industry Sets New Record for Revenue Per Available Room (RevPAR) in February 2014

According to Hospitality Advisors LLC, Hawaii hotels set a new record for Revenue Per Available Room (RevPAR) in February 2014 at $212.96.  This represented a 5.3 percent increase from February 2013.  RevPAR is calculated by multiplying the hotel's average daily rate by total occupancy.  According to industry experts, a strong RevPAR signifies that the hotels are generating a good earning power on their hotel rooms regardless of whether they are occupied.  Joseph Toy, the president for Hospitality Advisors, stated, "RevPAR records are being set throughout Asia and the mainland.  The good news is that Hawaii is among the top five RevPAR markets in the U.S.  We're generally the No. 2 market behind New York City, so we're getting lots of attention."

Statewide, occupancy decreased slightly by 0.09 percent to 87.2 percent in February.  Average daily rates, however, climbed to $251.13.

Waikiki had the highest occupancy rate of the state at 90.8 percent, with an increased average daily rate of $222.99, a 6.6 percent increase.  RevPAR for Waikiki increased to 6.4 percent, or $202.47.

Maui saw a slight decrease in occupancy rate and posted a 80.6 percent rate.  ADR increased by 8.3 percent to $331.02.  RevPAR increased by 6.1 percent to $266.80.

Kauai had an occupancy rate of 79.6 percent.  ADR rose 3.9 percent to $237.87.  RevPAR increased by 1.1 percent to $189.34.

Hawaii (Big Island of Hawaii) had an occupancy rate of 76.5 percent.  ADR increased by 5.6 percent to $245.19. RevPAR increased by 3.2 percent to $187.57.

Source: Honolulu Star Advertiser, 4-9-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
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