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STR: January ends on flat performance note for U.S. hotels

Occupancy remains around 40 percent

STR: January ends on flat performance note for U.S. hotels

JANUARY CLOSED WITH flat performance for U.S. hotels, according to STR.

Occupancy for the week ending Jan. 30 was 40.4 percent, up slightly from 40 percent the week before but down 29.6 percent from the comparable week in 2020. ADR was $89.62, down from $90.13 week-to-week and a 29.8 percent drop from last year. RevPAR averaged $36.23 compared to $36.07 the week before and down 50.6 percent year-over-year.


The top 25 markets together saw lower occupancy than the national average with 38.4 percent, but higher ADR with $95.50. At 58.2 percent, Tampa/St. Petersburg, Florida, reported the highest occupancy level among the top markets.

On the lowest end of performance was Oahu Island, Hawaii, with 22.8 percent and Minneapolis/St. Paul, Minnesota-Wisconsin, 27.7 percent.

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Trump policies took center stage in 2025
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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