STR’s preliminary January 2017 data for London, England, indicates sharp performance increases.
Based on daily data from January, London reported hotel supply was up 2.8 per cent, while demand was up 8.8 per cent.
Occupancy in the market increased 5.8 per cent to 70.5 per cent, while average daily rate rose 5.7 per cent to £127.84.
Revenue per available room increased 11.8 per cent to £90.08.
London’s hotel industry built on its momentum from the final months of 2016.
The 70.5 per cent absolute occupancy level would be the highest for a January in London since 2008, while ADR would be the highest for a January since 1994.
At the submarket level, London’s West End posted particularly high performance levels, with RevPAR up 20.1 per cent year over year.
In addition to the demand boost generated by a lower British pound, STR analysts note that the market’s performance increases are all in comparison with a slightly weak January 2016, when the market was still struggling from the aftershocks of the terrorist attacks in Paris.