Metro Vancouver’s hotels are achieving a “top line” occupancy and revenue performance, according to a new report that also underscores that, despite the booming sector, developers are unable to match demand with new lodging supply.
Last year, Metro Vancouver hotels marked 79-per-cent occupancy, an average daily rate (ADR) of $190 and revenue per available room (RevPAR) of $150, according to CBRE’s Canadian Hotels Outlook report.
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CBRE forecasts that Metro Vancouver hotels this year will see those numbers edge up to 80-per-cent occupancy, $202 (ADR) and $161 (RevPAR).
“Metro wide … we’ve had three or four years in a row of absolutely fantastic … top line performance,” said David Ferguson, CBRE’s director of hotels valuation and advisory services group.
He said 80-per-cent occupancy is virtual capacity for hotels when the ceilings of low-season periods are considered.
“There was a time where we used to say that Vancouver couldn’t get to 80-per-cent (occupancy), simply because of what we call functional capacity,” Ferguson told Postmedia.
“Vancouver seems to be continuing to defy (expectations),” he said.