Sydney hotels reported occupancy dipped 1.7% to 82.8% in September, according to preliminary monthly data from STR. ADR dropped 0.8% to 211.38 Australian dollars ($150.70) and RevPAR decreased 2.5% to AU$174.95 ($124.73).
STR’s preliminary September 2018 data for hotels in Sydney, Australia, indicates performance declines.
Based on daily data from September, Sydney reported the following in year-over-year comparisons:
- Supply: +5.7%
- Demand: +3.9%
- Occupancy: -1.7% to 82.8%
- Average daily rate (ADR): -0.8% to AUD211.38
- Revenue per available room (RevPAR): -2.5% to AUD174.95
According to STR analysts, the overall performance decline is primarily the result of new supply. September was the sixth consecutive month with year-over-year supply growth above 5% in the market. With subsequent occupancy declines, operators have lowered rates. On a positive note, solid demand growth kept occupancy above 80% and the 10-year average in the market.
STR will release full September results later this month.
STR provides clients from multiple market sectors with premium, global data benchmarking, analytics and marketplace insights. Founded in 1985, STR maintains a presence in 10 countries around the world with a corporate North American headquarters in Hendersonville, Tennessee, and an international headquarters in London, England. For more information, please visit str.com.