The hotel sector is likely facing a "protracted recovery," with experts from Moody's Analytics predicting certain segments of business travel may never fully return to pre-pandemic levels.
Permanent declines are expected within the range of 10 and 30%, Moody's analysts note in a recent report on the future of the sector, as would-be business travelers increasingly substitute technology for in-person meetings.
While hotel fundamentals mirrored recovering travel metrics, with RevPAR up 87% in Q3 and occupancy up 33% nationally, "the hotel sector has experienced a tremendous period of instability since travel restrictions practically eliminated both leisure and business travel," the report notes.
Continue Reading for Free
Register and gain access to:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
