- Revenue per available room lags in commercial metro markets
- Leisure travel continues to outperform business travel
Tourist havens like Orlando and Oahu are seeing more revenue from taxes levied on overnight hotel stays than their counterparts who rely on business-focused travel.
Cities that depend heavily on commercial travel have seen a larger decline in their revenue per available room since the onset of the pandemic, University of Chicago Harris School of Public Policy professor Justin Marlowe and HVS Consultant Tom Hazinski co-wrote in a draft research paper the duo provided to Bloomberg.
For example, Boston, which is considered a commercial city, saw a 70% drop in revenue per available room, compared to leisure-focused Phoenix, which saw a 39% decline. The metric the researchers use is an industry standard to measure the strength of revenues across the lodging market.
Bloomberg CityLab
By Hadriana Lowenkron and Marvis Gutierrez
October 14, 2022