US Lodging Industry and Market Outlook – 3Q-2021 – Hospitality Net

LARC has released its latest Market Intelligence Reports for the top-26 markets and the U.S. overall.
LARC expects U.S. RevPAR to increase by 49.9% in 2021 and increase at a 16.8% CAGR from 2020 through 2025 (5-year outlook). LARC also anticipates U.S. hotel property values to increase 19.5% in 2021 and increase at a 7.0% CAGR from 2020 through 2025. We forecast ADR to recover to 2019 levels by the end of 2022, while RevPAR, Hotel EBITDA an asset values reach 2019 levels in 2023 and occupancy in 2024.
Our outlook for 2021 lodging fundamentals has improved as the summer leisure season has been even stronger than expected, particularly related to ADRs. However, it is essentially a pull forward of growth from later years, as our longer-term outlook for RevPAR is only slightly higher than last quarter’s.
For more detail on our current U.S. industry forecast and color on some of the U.S. cities we expect to be the best and worst performing markets, please download the document below.


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