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U.S. hotel performance dips in first week of January

New Orleans leads in all three key performance metrics with significant YOY increases

U.S. hotel performance dips in first week of January

U.S. HOTEL PERFORMANCE dropped in the first week of January from the prior week, although year-over-year comparisons showed improvement, according to CoStar. Key metrics, including occupancy, ADR, and RevPAR, all declined at the start of the New Year compared to the previous week.

Occupancy was 46.8 percent for the week ending Jan. 6, down from the previous week's 50.1 percent and reflecting a 0.7 percent year-over-year decrease. ADR fell to $152.17, compared to the prior week's $163.58, showing a 7.2 percent increase from the previous year. RevPAR decreased to $71.28 from the prior week's $82.1, but rose 6.4 percent from the corresponding period in 2023.


Among the top 25 markets, New Orleans saw the largest year-over-year increases in each of the three performance metrics. Its occupancy was up 36.5 percent to 61.2 percent, ADR was up 43.5 percent to $211.90 and RevPAR rose 95.9 percent to $129.62. The market’s performance was boosted by the Sugar Bowl, FAN EXPO New Orleans and multiple Mardi Gras parades.

Fueled by New Year's Eve, New York City recorded the second-highest ADR gain, up 33.6 percent to $260.35, and a RevPAR gain of 49.9 percent to $189.85.

Las Vegas experienced the steepest RevPAR decline, dropping 38.3 percent to $124.81, followed by Dallas with a decrease of 18.6 percent to $49.03.

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