According to a new analysis, the majority of South and Central American cities tracked by STR Global saw revenue-per-available-room (RevPAR) increases in the first quarter of 2012 when compared to the same period the previous year. Ten of the 14 cities studied in Central and South America saw a rise in RevPAR as a result of higher average daily rates (ADR).
For the first quarter, RevPAR declined in local currency in Panama City, Lima, Peru, Manaus, Brazil, and Bogota, Colombia, with drops ranging from 11.1 percent in Panama City to 16.2 percent in Bogota. With 16.1 percent and 10.9 percent increases, respectively, Panama City and Bogota had the greatest supply increases of the 14 cities. The increased hotel supply reflects the high levels of investment and confidence in these sectors. As indicated in the table below, higher demand growth in Panama City helped to offset some new supply in the market, resulting in lower occupancy and ADR reductions in Panama City than in Bogota. udc qatar
Rio de Janeiro and Cordoba, Argentina, finished the first quarter with RevPAR rises of more than 20%, putting them in first and second place among the 14 markets in terms of RevPAR growth. Cordoba, Argentina's second largest city, saw only minor increases in supply and demand, resulting in 57.8% occupancy and an average room rate of ARS 382.91. Better demand levels (+6.1%) enhanced Rio de Janeiro's performance compared to the first quarter of 2011. Because to the restricted availability, occupancy reached 81.5 percent, and the average daily rate was BRL 418.73. Rio's first-quarter RevPAR (BRL 341.19) was the highest for a first quarter in the city since 2006.
"The strong market conditions across Central and South America are reflected in the RevPAR improvements across most markets," said Elizabeth Randall, managing director of STR Global. "However, recent weakness in demand in seven of the 14 areas can be interpreted as a sign that market circumstances may become more difficult in the future."
Over 92,000 hotel rooms across Central and South America are tracked by STR Global. The Hotel Opportunities Latin America conference, taking place in Miami from the 8th to the 10th of May 2012, will feature a presentation by STR Global on regional trends.
In November, the global hotel industry reported mostly positive pipeline growth.
According to the STR Global Construction Pipeline Report from November 2011, the global hotel sector experienced largely positive growth in most markets.
Americas Central and South
In Central and South America, there are 196 hotels in the pipeline, totaling 28,958 rooms.
Panama has the highest predicted increase (64.4 percent) among the countries in the area if all 7,593 rooms in the country's active pipeline open. Paraguay (+16.2% with 300 rooms), Colombia (+11.1% with 2,056 rooms), Costa Rica (+7.4% with 1,306 rooms), Brazil (+7.3% with 12,775 rooms), and El Salvador (+7.3% with 200 rooms) are among the countries that have seen substantial increase.
Mexico/Caribbean
The Caribbean/Mexico hotel pipeline includes 131 hotels with a total of 17,923 rooms.
If all 753 rooms in the active pipeline open, Haiti will have the highest predicted growth (45.0 percent) among the countries in the area. Anguilla (+28.8% with 220 rooms), Dominica (+13.5 percent with 90 rooms), St. Kitts/Nevis (+11.7 percent with 235 rooms), and Turks and Caicos (+10.2 percent with 327 rooms) are among the other countries with considerable increases in existing supply.
Europe is a continent that has a
There are 869 hotels in the pipeline in Europe, totaling 139,006 rooms.
With 21.8 percent and 30,369 rooms, the Upscale segment of the Chain Scale segment accounted for the most rooms in the region's overall active pipeline. The Upper Midscale sector (19.2 percent with 26,726 rooms), the Unaffiliated segment (19.2 percent with 26,755 rooms), and the Upper Upscale segment (19.2 percent with 26,755 rooms) each accounted for more than 10% of the total active pipeline rooms (15.0 percent with 20,802 rooms).
Europe pipeline by Chain Scale segment (number of rooms) for November 2011:
Africa/Middle East
The Middle East/Africa hotel pipeline includes 494 hotels with a total of 133,705 rooms.
The United Arab Emirates recorded the most rooms in the In Construction phase, with 21,238 rooms, among the important countries in the area. Saudi Arabia (11,270 rooms), Qatar (5,544 rooms), Egypt (4,807 rooms), and Jordan (4,807 rooms) are the other four countries with more than 3,000 rooms under construction (3,758 rooms).
Asia and the Pacific
The Asia/Pacific hotel pipeline includes 1,443 hotels with a combined capacity of 348,653 rooms.
To date in 2011, 361 properties in the region have opened, totaling 64,269 rooms. In the remaining months of 2011, 38 projects with a total of 8,993 rooms are slated to launch. In 2012, 559 projects with 139,432 rooms are anticipated to open in the region, and 395 projects with 97,312 rooms are anticipated to launch in 2013.
The Luxury segment is expected to open the most rooms in the remaining two months of 2011, with nine properties totaling 3,022 rooms, followed by the Upscale segment (eight properties totaling 2,287 rooms), the Upper Upscale segment (eight properties totaling 1,921 rooms), and the Upper Midscale segment (eight properties totaling 1,921 rooms) (six properties with 1,226 rooms).