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CBRE Lifts 2018 US Lodging Forecast After Strong Q1
The outlook for the hospitality sector looks brighter, according to CBRE Hotels’ Americas Research. The latest findings were based on better-than-expected performance in the first quarter of 2018.
U.S. hotels enjoyed a 3.5% increase in revenue per available room (RevPAR) during the first quarter of 2018, according to STR. That exceeded the 2.5% RevPAR gain expected by CBRE for the period. Those numbers led CBRE to forecast a 2.8% annual increase in RevPAR for U.S. hotels in 2018, a 0.3 percentage point enhancement over the 2.5% mark predicted in CBRE’s Hotel Horizons report earlier this spring.
CBRE Hotels’ R. Mark Woodworth says, “We continue to be impressed by the ability of the U.S. economy to support demand growth for accommodations away from home. Helped by an expanding economy, first quarter 2018 lodging demand grew at 3%, a full 1.1 percentage points greater than anticipated. This sustains 33 consecutive quarters of demand growth, a streak that started in the first quarter of 2010.”
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