U.S. lodging industry - additional information
The occupancy rate, the share of rooms occupied at a given time, is used with the average daily rate (ADR) and revenue per available room (RevPAR) to measure the performance of a lodging establishment or market. The occupancy rate of the U.S. lodging industry is usually at its highest during the third quarter of each year, indicating a peak in demand, and has been rising year-on-year, in the last few years. The revenue of the U.S. hotel industry reached 208 billion U.S. dollars in 2017.
As well as rising occupancy rates, the average daily rate of the U.S. hotel industry is increasing year-on-year, with the highest rates generally seen in October. In October 2017, average daily rates amounted to 130.2 U.S. dollars, up from around 126.73 dollars during the same month in 2016. October also sees a slight peak in occupancy rates compared to the rest of the latter part of the year, but the highest monthly occupancy rate occurs in July, during the summer vacation season.
The hotel market in the United States is constantly expanding, with over 5,000 hotel projects in the development pipeline each month in early 2018. The market also sees developments to pre-existing lodging establishments. The most expensive hotel renovation between 2013 and 2017 was the JW Marriott Island Beach Resort in Marco Island, Florida, carried out in the summer of 2017 at a cost of 320 million U.S. dollars.