Even though the U.S. hotel industry registered record-breaking performance levels during 2019, RevPAR growth was the lowest since the current cycle began in 2010.
Although the hotel industry has been operating at peak levels for several years, accelerated supply growth, which has been readily absorbed in most markets due to the expanding economy, has contributed to weaker than normal average room rate growth.
Sector challenges include an acute amount of uncertainty, both international and domestic, which may exert negative pressure on the performance of the US lodging industry.
NEW YORK CITY—As the US economy enters its sixth year of expansion, and volatility heightens in the public equity markets, the chase for yield is intensifying and expanding the supply of US focused capital.