Florida Hotels Sell at Slower Pace But High Prices in First Half of 2023

Rising interest rates combined with decelerating revenue per available room, or RevPAR, growth in most Florida markets caused transaction activity to slow sharply in the first half of 2023. The number of hotel trades in Florida from January through June fell more than 50% compared to the first half of 2022, from 292 last year to 138 this year. Total sales volume in the first half of the year was down 34% versus the same period last year, a relatively modest decline compared to the drop in transactions thanks to the highest sale price ever in Florida.