STR: Hurricane Irma’s initial impact on hotel markets
STR: Hurricane Irma’s initial impact on hotel markets
15 SEPTEMBER 2017 9:06 AM

STR data shows Florida hotel markets that were evacuated before the arrival of Hurricane Irma experienced significant performance decreases, but the destinations evacuees flocked to saw significant growth.

HENDERSONVILLE, Tennessee—According to an initial analysis by STR, most major hotel markets in Florida saw dramatic performance declines during the days ahead of Hurricane Irma’s landfall, while evacuation destinations like Orlando, Atlanta, Birmingham and Chattanooga experienced significant performance growth.

For the purpose of its analysis, STR examined its most recently processed daily data, which ran through Saturday, 9 September. Data submission was interrupted across dozens of hotels over the days of 3-9 September, and data from the Florida Keys was removed from the analysis sample due to a lack of data reporting from that market later in the week.

“More than a quarter of Florida’s population was under an evacuation order, so the dramatic shifts in hotel performance are not surprising,” said Chad Church, STR’s VP of client services. “As we are seeing in the early stages of Hurricane Harvey recovery in Houston, the impact on hotel demand will likely span months as rooms are booked for relief workers, volunteers, government employees, contractors, insurance adjusters, media members and displaced residents.”

“In addition to tracking performance trends over the coming weeks, we will continue to watch the supply situation as there will be a number of hotels offline due to damage sustained during the storm,” Church said. “However, as we saw with the areas around Houston, we don’t expect a shocking loss of an inventory like we saw after Hurricane Katrina in 2005.”

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