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Orlando Hospitality Sector Enjoying Higher Rates, Robust Supply
Marcus & Millichap’s Orlando Hospitality Market Report, Midyear 2024 reports:
New room supply is set to reach a three-year high in 2024, with over 2,000 keys projected for completion, and a similar number slated for 2025, positioning Orlando for future growth.
Theme Park attendance showed mixed trends, with Universal Studios seeing a 9.3 percent decline while Disney World had a 3.4 percent rise. This affected hotel bookings, contributing to a projected 71.7 percent occupancy rate by year-end.
High levels of construction remain a prominent feature. Nearly 3,950 rooms are under construction, half of which are concentrated in popular areas like International Drive and Lake Buena Vista.
The Brightline high-speed rail service between Miami and Orlando, launched in late 2023, is expected to support future hotel demand.
Despite occupancy declines across six of the seven submarkets, average daily rates (ADR) rose to $197.81, the highest growth among Florida metros, marking a 21 percent increase from 2019.
- ◦Economy
