Skip to content

Search

Latest Stories

Report: Extended-stay hotels comparatively strong in November

Following a trend seen throughout the current downturn, the segment has lost less occupancy and revenue than others

EXTENDED-STAY HOTELS in the U.S. in November continued the trend of outperforming other segments during the current downturn, according to a report from hotel investment advisors The Highland Group. The report also found that traditional hotels were also benefitting from longer term stays.

During the month, extended-stay hotels saw a 23.7 percent decline in room revenues compared to 53.5 percent for the national average. Occupancy and ADR also were substantially higher than other segments, leading to a 23 percent occupancy premium over all hotels.


“For extended-stay hotels November 2020 was a resumption of the trend in reporting lower RevPar losses compared to the previous month and the segment’s occupancy premium reached a new record high” said Mark Skinner, partner at The Highland Group.

The benefit of extended-stay business extended beyond rates. Economy, mid-price and upscale extended-stay hotels all have lost less RevPAR losses than traditional hotels with comparable rates over the past few months, though they have seen losses.

“However, traditional hotels have also benefitted from a significant increase in longer-term guests,” the report said. “Average length of stay from guests staying seven consecutive nights or longer in traditional hotels increased from 12.8 to 15 nights for the year-to-date through September 2020 compared to the same period in 2019. The corresponding change in extended-stay hotels was a gain from 22.8 to 24.7 nights.”

While overall demand for stays of seven consecutive nights or longer was down 4.5 percent through September, room nights from guests staying 30 or more consecutive nights rose 15.1 percent over the same period, according to The Highland Group report. Traditional hotels captured more than 4 million room nights of the 5.78 million room night increase in demand from the longest-term guests.

Of the 50 largest markets, 13 reported declines in demand from longest-term guests in extended-stay hotels.

“Only eight of the 50 markets saw a corresponding demand decrease in traditional hotels,” the report said. “In both extended-stay and traditional hotels, more than half the largest markets reported at least double-digit demand growth for stays of 30 consecutive nights or longer.”

More for you

U.S. Hotel Construction Hits 20-Quarter Low in June

CoStar: Hotel construction drops in June

Summary:

  • U.S. hotel rooms under construction fell year over year for the sixth straight month in June, hitting a 20-quarter low, CoStar reported.
  • About 138,922 rooms were under construction, down 11.9 percent from June 2024; the luxury segment had 6,443 rooms, up 4.1 percent year over year.
  • Lodging Econometrics recently said Dallas led all U.S. markets in hotel construction pipelines at the end of the first quarter, with 203 projects and 24,496 rooms.

THE NUMBER OF U.S. hotel rooms under construction declined year over year for the sixth straight month in June, reaching a 20-quarter low, according to CoStar. Additionally, more than half of all rooms under development are in the South, mostly outside the top 25 markets.

Keep ReadingShow less
Auro Hotels Showcases India Culture at TCMU Exhibit

Auro unveils 'India Cultural Corner' for children

Summary:

  • Auro Hotels opened the India Cultural Corner, where children can check in and explore Indian culture at The Children's Museum of the Upstate.
  • Families can engage with community art, activities and storytelling about daily life in India.
  • The exhibit runs through May 2026, offering interactive learning on Indian culture.

AURO HOTELS RECENTLY opened the India Cultural Corner at The Children's Museum of the Upstate in Greenville, South Carolina, offering a look into Indian stories for American families. The exhibition, held at The Grand Geo Hotel and running through May 2026, includes a hotel desk where children can check in and explore Indian culture through interactive activities.

Keep ReadingShow less
U.S. Firms Lose $2.4 Trillion by Skimping on Business Travel

Report: Business travel gaps cost U.S. firms $2.4T

Summary:

  • U.S. companies risk losing more than $2.4 trillion in sales due to underinvestment in business travel, says GBTA.
  • An 8.3 percent T&E increase could drive a 6 percent sales gain, despite post-COVID virtual meeting tools.
  • Current T&E spending is $294 billion—$24 billion short of the $319.1 billion needed for peak profitability.

U.S. COMPANIES ARE missing more than $2.4 trillion in potential sales due to underinvestment in business travel, according to a Global Business Travel Association report. Despite a post-pandemic rebound, travel and entertainment spending remains $66 billion below 2019 levels.

Keep ReadingShow less
AI threats in hospitality

Study: Cyberattacks on hotels to surge

Summary:

  • Around 66 percent of hotel IT and security executives expect more cyberattacks this summer, and 50 percent anticipate greater severity, according to VikingCloud.
  • Guest-facing systems most at risk include POS and payment technology at 72 percent, guest WiFi at 56 percent and front desk systems at 34 percent.
  • About 48 percent of executives lack confidence in their staff’s ability to detect and respond to AI-driven attacks and deepfakes.

APPROXIMATELY 66 PERCENT of hotel IT and security executives expect an increase in cyberattack frequency and 50 percent anticipate greater severity during the summer travel season, according to cybersecurity firm VikingCloud. In summer 2024, 82 percent of North American hotels experienced a cyberattack and 58 percent were targeted five or more times.

Keep ReadingShow less
Newly renovated Marriott Saddle Brook hotel in New Jersey, now managed by Stonebridge Cos.

Stonebridge to manage Marriott in Saddle Brook, NJ

Summary:

  • Stonebridge Cos. has added the Marriott Saddle Brook in Saddle Brook, New Jersey, to its full-service portfolio.
  • The renovated property is owned by Victory Worldwide LLC, led by CEO Anil Monga.
  • Located 20 miles from New York City, it is near the Meadowlands Sports Complex, Garden State Plaza and Hackensack University Medical Center.

STONEBRIDGE COS. RECENTLY added the 244-room Marriott Saddle Brook in Saddle Brook, New Jersey, to its full-service managed portfolio. The property is owned by Victory Worldwide LLC, led by CEO Anil Monga.

Keep ReadingShow less