NEW YORK—STR and Tourism Economics made significant downward adjustments to the 2024-2025 U.S. hotel forecast released at the 46th annual NYU International Hospitality Industry Investment Conference. The latest revision reflects lower-than-expected performance thus far in 2024 and lessened growth projections for the remainder of the year.
For 2024, projected gains in average daily rate (ADR) and revenue per available room (RevPAR) were downgraded 1.0 percentage points and 2.1 percentage points, respectively. Occupancy for the year is now expected to decline after the previous forecast projected year-over-year growth in the metric. For 2025, an occupancy growth projection was kept in place, but downward…