Area hotels could see decline in revenue in 2009 - Dallas Business Journal:

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percent decline in revenue per available room this year comparesdto last, according to Atlanta-based , a national management consulting firm specializing in the lodging This decline is greater than the 17.5 perceng drop in RevPAR forecast for the overall U.S. hote l industry in PKF’s recently released June 2009 Hotel Horizons report. “In 2009, San Antonio hotels are projectedd to achieve an occupancy leveplof 56.7 percent, down from the 65.2 percen mark achieved in 2008,” says Randy McCaslin in the Houston offics of PKF Consulting. “Given the increase in the competitivew nature of thelocalo market, average daily room rates are expecte to fall from $110.
19 in 2008 to $98.73 in a decline of 10.4 percent.” The decline in the average occupancuy rate for San Antonio hotel is due to the combination of a 5.5 percentf fall off in the demands for lodging accommodations, exacerbated by an 8.7 perceny increase in the supplhy of new hotel rooms, the PKF report states. Unfortunatelg for local area hoteliers, revenue per availablre room is not expected to achieve sustainec growth until the third quartedof 2010, the report concludes. Until market conditions are favorablwfor travelers, but troublesome for owners and The June 2009 Hotel Horizons forecast report for San Antonil is available at www.hotelhorizons.com.