Miami-Dade’s hotel industry rebounds across the board
Miami-Dade’s hotel industry rebounded across the board in April from April 2016, showing gains in every category in what has been a mostly down year, the STR Trend Report shows.
Notably, the biggest gain was in total revenue, just a tick under $280 million for the month and nearly $21 million more than April 2016. That 7.9% revenue gain was tempered by the fact that the county in April had 427 operating hotels and 55,354 rooms, up from 408 hotels and 52,922 rooms in April 2016.
Climbing numbers translated into more jobs: the leisure and hospitality sector gained 1.8% in jobs from April 2016, reaching the highest total ever in the county at 145,600 workers in the sector, according to the US Bureau of Labor Statistics.
Numbers were good across the board in the industry. Occupancy averaged 81% nightly, up 0.9% from the prior April. The average daily rate for a Miami-Dade hotel room was $207.94, up 2.3% despite increased competition from the new hotels. The actual revenue per available room rose 3.2% over the 12 months to $168.51. And while room supply rose 4.6%, demand rose 5.5%, STR reported.
The positives were in contrast to mostly negatives for the year to date, even including April’s gains.
So far in 2017 occupancy averages 81.7%, a decline of six-tenths of a percent from the same point in 2016.
Yearly rates have also been a disappointment, with the average daily rate of $222.31 down 5.5% from the first four months of 2016, and the actual revenue per available room down 6.1% at $181.61.
For the year as a whole, while the supply of rooms for the first four months totaled just over 6.6 million beds in all Miami-Dade hotels, up 4.9%, demand was just under 5.4 million rooms, a gain of 4.2% but not enough to match growing supply.
Miami-Dade hotel revenue for the first four months of 2017, according to STR, was just over $1.2 billion, down 1.6% from April 2016.