Tuesday August 25th, 2009 - 10:17AM
ATLANTA—PKF Hospitality Research is now forecasting that the U.S. hotel industry’s nine consecutive quarters of declining demand will come to an end in the second quarter of 2010. However, the only problem is price discounting has firmly taken hold and, as result, room rates are expected to decline again in 2010.
PKF is currently forecasting a RevPAR decline of 18.5% for this year, which would be the result of a 9% decline in occupancy and a 10.4% decrease in ADR. The 18.5% RevPAR decline would be the largest annual decrease recorded by PKF since 1932.