STR
STR provides premium data benchmarking, analytics and marketplace insights for the global hospitality industry. Founded in 1985, STR maintains a presence in 15 countries.
Canada’s hotel average daily rate (ADR) and revenue per available room (RevPAR) were the highest for any year on record, according to STR‘s 2022 data.
2022 (percentage change from 2019)
In December specifically, Canada followed its typical seasonal trend with slightly lower occupancy and RevPAR performance than in November but improved in comparison to 2019: occupancy (+8.4 per cent to 53.3 per cent), ADR (+16.0 per cent to CAD 178.15) and RevPAR (+25.7 per cent to CAD 95.00). During the month, hoteliers benefited from strong group demand related to the United Nations Biodiversity Conference (COP 15) in Montreal and a resurgence in holiday parties.
“Canada’s hotel industry showed exceptional recovery in 2022,” said Laura Baxter, CoStar Group’s director of hospitality analytics for Canada. CoStar Group is the parent company of STR.
“Not only did ADR and RevPAR return to pre-pandemic levels, which was much faster than originally anticipated, but both metrics also reached record highs,” Baxter said. “The room-rate-led recovery proved to be a winning strategy that resulted in a rebound that was quicker than previous downturns and provided stronger profits for many. The other key driver of recovery was strong transient leisure demand, as households used savings from earlier in the pandemic to supplement travel and hotel spending. Occupancy approached or surpassed 2019 levels in the second half of the year, but due to a much slower start as the omicron wave hit, the full-year level lagged, down 6 per cent compared to 2019. Certain segments have fallen behind others such as corporate hotel demand as it evolves alongside work trends. Demand from international source markets had also been slower to recover – in line with the unwinding of pandemic-related restrictions at the border.”
Among the provinces and territories, British Columbia recorded the highest 2022 occupancy level (66.5 per cent), which lagged the pre-pandemic comparable by 4.5 per cent.
Among the major markets, Vancouver recorded the highest occupancy (72.9 per cent), which was 8.2 per cent behind 2019.
New Brunswick (54.7 per cent) saw the lowest occupancy among provinces, down 8.1 per cent against 2019. At the market level, the lowest occupancy was reported in Edmonton (51.8 per cent) which was 4.1 per cent below the 2019 comparable.
“Although Canada is expected to enter a moderate recession in 2023, the outlook for the country’s hotel industry remains positive, with more recovery set to take place. Bucking the trend from last year, year-on-year occupancy growth is anticipated to take the leading position, while ADR growth is forecast to pull back but remain in positive territory,” Baxter said.
The Hotel Association of Canada (HAC) has announced the resignation of Susie Grynol from her position as president and CEO, effective June 3rd, 2024
To commemorate International Women’s Day 2024, Choice Hotels Canada presents the remarkable journeys of four distinguished women leaders within the Canadian hotel sector. Their stories of resilience, innovation, and…
Atlific Hotels has appointed Christine Kennedy to chief executive officer.
Atlific Hotels has made new changes to its executive leadership, promoting Philippe Gadbois to chief operating officer and Mo Darehshiri to chief financial officer.