Canada’s hotel performance increased from the prior month, with February revenue per available room (RevPAR) exceeding CAD 100 for the first time recorded, based on February 2023 data from STR.
February 2023 (percent change from 2019)
- Occupancy: 59.2% (+0.7%)
- Average Daily Rate (ADR): 174.62 CAD (+16.5%)
- Revenue Per Available Room (RevPAR): CAD 103.33 (+17.3%)
“Canada hotel performance trends emerging in mid-2022 have remained incredibly consistent andwas no exception,” said Laura Baxter, CoStar Group’s director of hospitality research for Canada. CoStar Group is the parent company of STR. “Strong room rate growth across all segments and high transitory demand, particularly on weekends, continue to be the main drivers of the performance recovery,” Baxter said. “Group and demand remained below pre-pandemic levels, with group occupancy 12% lower than in 2019. January and February are typically slow months for the segment, so we can expect the index to improve as we go forward in the high season for groups (from April to November). ). We can also expect to see an improvement as international group travel resurfaces throughout the year. Weekday occupancy, which can be used as a proxy for corporate travel demand, was down just 3% in February, indicating relative strength in the segment. The increase in the number of workers returning to the office may lead to further improvements for corporate demand.”
Between provinces and territories, Manitoba registered the highest occupancy level of January (70.4%), which exceeded thecomparable at 7.5%.
Among the main markets, vancouver reported the highestlevel (74.4%), which was 2.0% higher than 2019.
New Brunswick (48.1%) registered the lowest occupancy among provinces, 2.3% more than in 2019. At the market level, the lowest occupancy was registered in edmonton (51.3%), which was 4.9% below the comparable in 2019.