Shrinking demand, rising costs, and disrupted travel patterns reshape the hotel industry landscape
The new reality for US hotels in 2025
The hotel industry is grappling with a rapidly evolving landscape shaped by macroeconomic uncertainty, policy headwinds and changing guest preferences. A convergence of inflationar...
Cuts in federal travel hit Colorado Springs and San Diego hotel performance
Government austerity and travel-related suspensions produce headwinds
Colorado Springs, Colorado, and San Diego are two of the nation’s most prominent military-anchored markets, with government-related travel serving as a consistent source of hotel d...
CMBS stress peaks in the San Francisco hotel market
Investors seek opportunities amid delayed recovery
The San Francisco metro remains one of the least recovered hotel markets in the U.S.
Colorado hotel sales climb, yet the market still trails long-term trends
One flashy sale in Denver accounts for over half of all sales in the first quarter
In the first quarter of 2025, roughly $162 million across 14 hotel properties traded in the three Colorado markets, an increase of over 70% compared to the prior year. Still, this ...
San Francisco hotels post All-Star first quarter
Events drive major gains, but the long-term outlook remains tempered
San Francisco’s hotel market saw a notable revival in the first quarter of 2025. The improved performance was bolstered by marquee events like the J.P. Morgan Healthcare Conference...
Pacific Northwest hotel sales plummet to a decade low
Conversion projects drive limited activity in year's first few months
In the first quarter of 2025, roughly $109 millionacross 23 hotel assets traded in the four Pacific Northwest markets, a 60% decrease in sales compared to the same period in the p...
Hotel performance outlook for the Western US: trends and projections
An overview of the main drivers of future performance through 2027
The hotel industry in the Western U.S. is facing a mix of recovery and growth trends across major markets, with some destinations rebounding from setbacks while others continue to ...
Hotel operators in US West able to raise rates, but struggle to increase occupancy
Las Vegas, San Diego, Orange County post largest hotel rate gains
The eight western markets that rank among the 25 largest hotel markets in the U.S. have been able to increase rates consistently, but occupancy is lagging in all eight markets. The...
Assessing the lasting impact of the LA wildfires on hotel performance
Following the evacuation peak, increased demand for hotel rooms continued throughout January
Almost a month after the devastating wildfires in Los Angeles, we take a closer look at the lingering effects on the hotel sector among several of the region’s markets.
A primer on San Francisco's hotel market
Challenges, recovery and future demand drivers to the recovery of hotels in the Bay Area
The San Francisco/San Mateo hotel market remains one of the least recovered among major U.S. markets.
Seattle's hotel pipeline is in the middle of the pack among top 25 markets
Half of properties under construction fall in a single submarket
Seattle’s hotel pipeline mirrors the national average, with roughly 1,300 rooms underway across seven properties, or 2.5% of the existing room supply totaling 51,000. An additional...
Denver's hotel transaction volume held steady in 2024
Three transactions made up 25% of the total sales volume
Roughly $338 million across 29 hotels changed hands in Denver last year, achieving a comparable sales volume to the prior year. This compares to the 10-year market average of about...
Hotel transactions in Las Vegas hit lowest point in over a decade
Fewer than 10 hotels traded, with not a single transaction exceeding $30 million
Roughly $115 million of hotel properties were sold in Las Vegas last year, a decrease of 90% compared to the prior year. This was the lowest volume recorded in the city since 2014,...
San Diego hotel pipeline is among largest of the top 25 markets
One hotel accounts for over 50% of rooms under construction
San Diego exhibits a strong pipeline of hotel rooms under construction and in final planning, as the metropolitan area has roughly 2,900 rooms underway across 10 properties, or 4.3...
These four California hotel markets are poised for strong growth in 2025
Oakland area to be among top performers based on revenue per available room
The 2025 outlook for several California markets calls for a notable acceleration in hotel performance compared to the subdued results of 2024. Markets such as Oakland, Wine Country...
Hotel transactions in California remained muted compared to historical standards
Two transactions made up 20% of the total sales volume
In 2024, roughly $2.5 billion of hotel properties were traded in California, a decrease of 6% compared to the prior year, with the number of sales decreasing by over 10%. This was ...
Half of California's markets showcase strong pipeline of new hotels
Growth rates within the state exceed national average
Developers are active across several California markets, with 14,700 rooms under construction across 110 hotels, or 2.6% of the existing supply.
Denver to see large influx of hotels over next two years
Expect to see roughly 6,500 more rooms across 43 properties
Denver has a strong pipeline of rooms under construction and in final planning, occupying fourth place among the top 25 hotel markets tracked by CoStar.
Weekday hotel demand drives strong occupancy growth in DC
Several relocations of Fortune 500 companies to the capital boosted corporate transient demand
Weekday occupancy gains have driven Washington, D.C.’s strong hotel performance this year, partly due to a growing corporate presence in Virginian suburbs that is bolstering demand...
This year's sales volume in Florida markets approaches 2023 levels, but with fewer deals
Four largest transactions accounted for about 60% of total sales volume
The sales volume from hospitality real estate deals in Florida has kept momentum this year compared to last. Orlando and Miami are leading the way, while Tampa and Fort Lauderdale ...