Central/South America hotel performance for Q1 2018
Hotels in the Central/South America region reported positive Q1 2018 performance results, according to data from STR. STR's sample comprises more than 59,000 hotels and 8.0 million hotel rooms around the globe. Contact [email protected] for additional market data.
Key Q1 Takeaways:
- Argentina posts best Q1 occupancy since 2008
- Chile reports lowest Q1 RevPAR since 2010
- Colombia registers highest Q1 occupancy since 2011
U.S. dollar constant currency, Q1 2018 vs. Q1 2017
Central/South America
- Occupancy: +4.5% to 57.6%
- Average daily rate (ADR): +7.9% to US$108.70
- Revenue per available room (RevPAR): +12.8% to US$62.60
Local currency, Q1 2018 vs. Q1 2017
Argentina
- Occupancy: +7.5% to 63.6%
- ADR: +28.3% to ARS2,350.20
- RevPAR: +38.0% to ARS1,493.79
The absolute occupancy level was the highest for a first quarter in Argentina since 2008. An occupancy increase in March (+4.5%) was the 15th consecutive month of occupancy growth for the country. Demand growth in Buenos Aires
was the highest for Q1 since 2010. The Lollapalooza music festival helped push RevPAR (+73.0%) during 16-18 March.
STR analysts also note that inflation continues to influence ADR in the country.
Chile
- Occupancy: -2.5% to 66.7%
- ADR: -5.2% to CLP75,139.81
- RevPAR: -7.6% to CLP50,146.52
Due primarily to supply growth, absolute RevPAR was the lowest for a first quarter in the country since 2010. At the market-level, Santiago reported a 0.6% Q1 decrease in RevPAR, which was due to a 2.5% decline in ADR. Occupancy in the market was more stable as growth on weekends overshadowed declines during the week.
Colombia
- Occupancy: +5.4 to 58.5%
- ADR: +1.8% to COP272,687.74
- RevPAR: +7.3% to COP159,612.10
Positive performance was mainly driven by January and February, as a slowdown in demand growth (+3.3%) for March allowed occupancy comparisons to fall into negative territory (-0.2%). Regardless, absolute occupancy was the highest for a first quarter in Colombia since 2011. When looking at market-level data, Bogotá experienced its highest Q1 occupancy level since 2012. ADR in the market decreased 3.2%. Bogotá's occupancy and RevPAR growth was highest on 16 March, helped by a Depeche Mode concert at Parque Simon Bolivar and a FIFA council meeting.
About STR
STR provides premium data benchmarking, analytics and marketplace insights for the global hospitality industry. Founded in 1985, STR maintains a presence in 15 countries with a corporate North American headquarters in Hendersonville, Tennessee, an international headquarters in London, and an Asia Pacific headquarters in Singapore. STR was acquired in October 2019 by CoStar Group, Inc. (NASDAQ: CSGP), the leading provider of commercial real estate information, analytics and online marketplaces. For more information, please visit str.com and costargroup.com.