The Central/South America region reported a 3.8% decrease in occupancy to 60.3%, but increases in ADR (+6.0% to $94.15) and RevPAR (+1.9% to $56.76) in November 2016 year-to-year comparisons, according to STR data.
LONDON—Hotels in the Central/South America region recorded mixed results in the three key performance metrics when reported in U.S. dollar constant currency, according to November 2016 data from STR.
Compared with November 2015, the Central/South America region reported a 3.8% decrease in occupancy to 60.3%. However, average daily rate (ADR) was up 6.0% to US$94.15, and revenue per available room (RevPAR) increased 1.9% to US$56.76.
Performance of featured countries for November 2016 (local currency, year-over-year comparisons):
Brazil continued to struggle with occupancy falling 7.8% to 55.5% and ADR down 8.9% to BRL275.11. As a result, RevPAR dropped 16.0% to BRL152.82. Performance was brought down significantly by a 40.9% drop in RevPAR in Rio de Janeiro, the country’s key hotel market. STR analysts note that Brazil’s performance declines may continue for some time, as there are 94 hotels In Construction in the country as well as another 131 pipeline projects in planning phases. Additional demand will be needed to offset such significant supply growth.
Costa Rica reported year-over-year growth across the three key metrics: occupancy (+2.0% to 69.5%), ADR (+2.4% to CRC65,673.61) and RevPAR (+4.5% to CRC45,657.63). November marked the eighth consecutive month that Costa Rica posted RevPAR growth. According to STR analysts, one factor that drove the country’s performance in November was group business (bookings of 10 or more rooms) in San José.
Panama recorded 3.8% growth in occupancy to 52.6%, while ADR dropped 4.4%% to PAB93.35. RevPAR subsequently fell 0.8% to PAB49.13. This marked Panama’s lowest absolute ADR level since August 2006. STR analysts note that the country’s performance has been heavily affected by supply increases over the last several years.
Performance of featured markets for November 2016 (local currency, year-over-year comparisons):
Bogotá, Colombia, recorded a 16.1% increase in occupancy to 69.6% and a 2.0% increase in ADR to COP289,328.18, resulting in an 18.5% increase in RevPAR to 201,410.83. November was a historical month for Colombia, as the government signed a revised peace deal with Farc (Revolutionary Armed Forces of Colombia).
Lima, Peru, posted a 0.5% decrease in occupancy to 75.1%, but a 40.7% spike in ADR to PEN702.57 boosted RevPAR 40.0% to PEN527.59. Lima hotels benefitted from hosting APEC Peru 2016 (Asia-Pacific Economic Cooperation), with ADR above PEN1,000.00 each day from 15-20 November.
Quito, Ecuador, reported a 13.7% decline in occupancy to 62.6% and a moderate 0.4% drop in ADR to USD105.26. As a result, RevPAR fell 14.0% to USD65.86. STR analysts point to strong supply growth (+7.5%) as a reason behind the performance.
International Media Contacts:
Media & Communications Coordinator
+44 (0)207 922 1979
Director of Marketing, Research & Analysis
+44 (0)207 922 1965
The above is a news release written by a third party. While HNN’s editorial mission is to produce unique content, it occasionally publishes timely, newsworthy news releases to complement in-house reporting efforts. All news releases are clearly marked as such. For questions and clarification, please contact Editor-in-Chief Stephanie Ricca at email@example.com.