Hotels in Melbourne Report 6.9 Percent RevPAR Drop for October 2017
Melbourne reported negative performance across all three metrics in October 2017, according to preliminary STR data. Occupancy decreased 1.5% to 86.2%, ADR dropped 5.5% to 191.62 Australian dollars ($146.38) and RevPAR declined 6.9% to AU$165.09 ($126.10).
STR’s preliminary October 2017 data for hotels in Melbourne, Australia, indicates performance affected by supply growth.
Based on daily data from October, Melbourne reported the following in year-over-year comparisons:
- Supply: +2.7%
- Demand: +1.1%
- Occupancy: -1.5% to 86.2%
- Average daily rate (ADR): -5.5% at AUD191.62
- Revenue per available room (RevPAR): -6.9% to AUD165.09
STR analysts note that the supply and demand growth imbalance negatively affected occupancy and ADR. Additionally, an earlier Australian Football League Grand Final (30 September 2017 versus 1 October 2016) was a contributing factor to the year-over-year decline in ADR.
STR will release full October 2017 results later this month.
STR provides clients from multiple market sectors with premium, global data benchmarking, analytics and marketplace insights. Founded in 1985, STR maintains a presence in 10 countries around the world with a corporate North American headquarters in Hendersonville, Tennessee, and an international headquarters in London, England. For more information, please visit str.com.