STR: Preliminary May data for London hotels
STR’s preliminary May 2018 data for London, England, indicates lower performance due to supply growth.
Based on daily data from May, London reported the following in year-over-year comparisons:
- Supply: +2.0 percent
- Demand: +0.9 percent
- Occupancy: -1.0 percent to 82.3 percent
- Average daily rate (ADR): -4.1 percent to GBP146.51
- Revenue per available room (RevPAR): -5.0 percent to GBP120.59
May was the 12th consecutive month with a year-over-year occupancy decline in the market. The month also was the third in a row with an ADR decrease after 16 straight positive months in the metric. As of April, London’s 12-month average supply growth was 3.0 percent.
STR analysts note that although there was a weakening of the pound in May, there was no significant increase in demand. The Royal Wedding on 19 May also did not produce a significant impact on performance.
STR will release full May results later this month. The May edition of STR’s Market Forecast is available now for London and a host of other markets across the globe.