Austin's occupancy rate dropped 10.6% from 74.4% in 2000 to 62.8% in 2001. Room rates fell to $90.66 from $96.92, a 6.5% decrease. RevPAR was off 20% from $71.15 to $56.90. The city's four geographic areas posted declines with the biggest in the CBD. The downward trend continued into January 2002 with occupancy down 11.7%, rates down 8.5% and RevPAR down 25.6%.
Austin hoteliers can expect the traditional crowds for the South by Southwest music, film and interactive festivals, which run for about 10 days in mid-March. The events bring about $28 million into the city's economy. The city also welcomes the girls and boys Texas high school basketball tournaments played at the University of Texas Frank Erwin Special Events Center.
In San Antonio, occupancy fell 1.6% in 2001, room rates were off 0.3% and RevPAR down 2.7%. The city's north/airport area even managed to post across-the-board gains for the year with occupancy up 1.9%, room rates up 1.8% and RevPAR up 4.7%.
In January, San Antonio hotels had a 2.6% increase in occupancy and a 1.9% RevPAR increase, but room rates fell 3.2%. In the CBD, occupancy rose 7% in January while room rates fell 4.8%. RevPAR increased 8.5%.
Both cities felt the impact of reduced travel after 9/11, but that was just one thing that cut travel to Austin in 2001. As the city's economy slowed during the year, so did business travel. While passenger traffic at Austin Bergstrom International Airport remained above seven million for the year, it dropped 6% from 2000. San Antonio's hotel figures had been flat before Sept. 11, reflecting the less volatile swing in its economy.
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