New research released by STR analysts has found that Melbourne’s hotel market reported negative performance results when it comes to RevPAR, but increases in occupancy, according to preliminary April 2017 data.
Occupancy decreased 2.6% to 80.9%, ADR increased just 0.6% to 176.23 Australian dollars ($129.90) and RevPAR dropped 2% to AU$142.51 ($105.05).
According to the research, April was the second month in a row with supply growth nearing 4% in Melbourne and analysts believe this is the reason behind the lowest occupancy percentage in the market since June 2016 and the lowest ADR level since August 2016. STR’s preliminary data for Melbourne indicates consistent performance with noteworthy supply growth.
Melbourne reported the following in year-over-year comparisons:
- Supply: +3.9%
- Demand: +1.2%
- Occupancy: -2.6% to 80.9%
- Average daily rate (ADR): +0.6% to AUD176.23
- Revenue per available room (RevPAR): -2.0% to AUD142.51