The average daily rate at U.S. hotels in 2015 will increase 5.3 percent year over year and another 6.3 percent next year

in spite of a slowdown in demand, according to a new PKF Hospitality Research report. PKF projected occupancy will increase 1.9 percent to 65.6 percent in 2015 but demand growth will drop off. The company forecast occupancy to increase only 0.6 percent in 2016. PKF indicated an anticipated 2.6 percent spike in inflation during 2016 would help trigger the predicted ADR increases despite limited occupancy growth.