Average daily U.S. hotel rates increased by 3.8 percent year
over year in March, and occupancy increased by 6.1 percent to 61.4 percent,
according to hospitality research firm STR. Luxury hotels had the highest rate
growth, according to STR president Amanda Hite.
"Luxury segment revenue per available room growth was
almost equally made up of ADR and occupancy growth, sending a strong signal to
lower-rated chain scales that pricing power is returning," she said in a
statement.
Cities with the largest rate growth in March included San
Francisco (12 percent) New Orleans (8.9 percent) and Chicago (7 percent). While
New York occupancy in March decreased by 4.1 percentage points year over year,
its rates increased by 5.8 percent.
A few cities had rate decreases in March, the highest being
Atlanta, down 3.7 percent year over year.