Professional Documents
Culture Documents
Occupancy Rate
a mix of slowing economic growth, Zika and a hurricane, plus other high-profile 75%
events that suppressed travel to the state. Random events could arise again,
70%
but property owners will have opportunities to leverage a growing economy to
strengthen property performance. Payrolls are still growing steadily, particular- 65%
ly in Orlando and Tampa, sustaining inbound business travel. Relocations to
Florida have also consistently increased to pre-recession levels. The relocation 60%
13 14 15 16 17*
of households promotes the use of hotels as transitional residences until per-
manent housing is available and generates inbound leisure travel from visiting
friends and relatives. Against the bright prospects offered by these and other Supply and Demand
demand drivers, the significant number of new, primarily select-service rooms
Available Rooms Room Demand
and home-sharing services including Airbnb imposes hurdles.
8%
Year-over-Year Change
Mix of sales by chain scale shifts. Investors also expanded into markets
6%
outside of the states three largest. Many longtime owner-operators of flagged
limited-service inns sold, taking advantage of keen investor interest and fluid 4%
debt markets. Additional opportunities to transact will arise in 2017, though a
potential acceleration in long-term interest rates could require price adjustments. 2%
Deals in the select-service tier declined last year, but investors are shifting from
0%
higher-priced major markets to secondary locations with sound demand drivers. 13 14 15 16 17*
Investors seeking higher yields will likely search further for upper midscale and
upscale brands in Gulf Coast or college town locations. Independent assets also
represent a sizable share of sales in the state, especially in coastal areas where Full-Year Revenue Measures
land prices are high. Historically significant unflagged hotels or independents on ADR RevPAR
sites suitable for higher-value alternative uses will command interest in 2017. $150 $100
RevPAR
$130
ADR
up 2.2% wide will come online in 2017 and raise the rate of supply
$120 $70
expansion above the national pace of growth. The total
includes more than 6,100 rooms in markets other than $110 $60
Miami-Dade, Orlando and Tampa. 13 14 15 16 17*
$90
13