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CoStar: U.S. hotel performance positive YoY in first week of October

Chicago's occupancy surged by 11.2 percent, reaching 74.9 percent

CoStar: U.S. hotel performance positive YoY in first week of October

U.S. HOTEL PERFORMANCE has increased from the previous week, aligning with the extended holiday weekend, while year-over-year comparisons also continue to show positive trends, according to CoStar. The percentage changes showed positivity on weekdays due to comparisons with the Yom Kippur period from the previous year, but year-over-year occupancy rates still experienced a decline.

Occupancy stood at 67.8 percent for the week ending on Oct. 7, a slight rise from the preceding week's 66.7 percent, with a marginal year-over-year decline of 0.2 percent, according to CoStar. ADR was $163.19, showing an increase from the previous week's $157.89 and a notable 5.4 percent surge compared to the previous year. RevPAR also saw an uptick to $110.68, surpassing the previous week's $105.31, and reflecting a 5.2 percent rise from 2022.


Among the top 25 markets, Chicago saw the only double-digit increase in occupancy, rising by 11.2 percent to reach 74.9 percent.

New York City recorded the most significant ADR increase, soaring 13.9 percent to $358.81.

Boston registered the most substantial year-over-year increase in RevPAR, surging by 23.1 percent to $242.49.

Tampa saw the steepest declines in both occupancy, dropping 18.5 percent to 65.2 percent, and RevPAR, down 18.0 percent to $102.38.

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Photo by Win McNamee/Getty Images

Trump policies took center stage in 2025

Summary:

  • Policy shifts and trade tensions shaped the U.S. hospitality industry.
  • A congressional deadlock triggered a federal shutdown from Oct. 1 to Nov. 12.
  • Visa limitations and the immigration crackdown dampened international travel.

THE U.S. HOSPITALITY industry navigated a year of policy shifts, leadership changes, trade tensions and reflection. From Washington’s decisions affecting travel and tourism to industry gatherings and the loss of influential figures, these stories dominated conversation and shaped the sector.

Policy uncertainty took center stage as Washington ground to a halt. A congressional deadlock over healthcare subsidies and spending priorities triggered a federal government shutdown that began on Oct. 1 and lasted until Nov. 12. The U.S. Travel Association warned the shutdown could cost the travel economy up to $1 billion per week, citing disruptions at federal agencies and the Transportation Security Administration. Industry leaders said prolonged gridlock would further strain hotels already facing rising costs and workforce challenges.

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