U.S. hotel revenues fall again as Canadian market holds steady

It marked the 16th daily RevPAR drop in the first 20 days of September and the 100th decline in the past 143 days.

The country’s top 25 markets saw the sharpest falloff, down 2.8 per cent, compared with a flat performance in other markets. New Orleans led the declines, down 22.4 per cent, followed by Houston at 20.1 per cent. Oahu, Miami and Washington, D.C., also reported double-digit losses.

Luxury hotels were the only U.S. segment to post growth, with RevPAR up 1.3 per cent. Economy properties fell five per cent. Group demand dropped for an 11th consecutive week, though the latest dip of 1.2 per cent was the smallest in that stretch.

Globally, RevPAR rose 5.6 per cent, largely on stronger occupancy. Gains were strongest in Europe, where Germany benefited from trade fairs and the Berlin Marathon, and France posted double-digit increases.

In Canada, RevPAR rose 3.4 per cent in the same-store sample and 4.6 per cent across all hotels, fuelled by room-rate growth. Every major market except Montreal saw increases.

STR said the near-term outlook for the U.S. remains soft with Rosh Hashanah and Yom Kippur likely to reduce weekday demand. The Southeast faces tougher year-over-year comparisons because of last year’s hurricane disruptions.

Month to date, U.S. RevPAR is up 0.8 per cent, but down 1.3 per cent when adjusted for the calendar.

Source: STR Weekly Insights, Sept. 14–20, 2025.