NORFOLK, Va. (WAVY) — Virginia’s hotel industry is suffering as a result of the coronavirus pandemic.
ODU’s Dragas Center for Economic Analysis and Policy released updated data on the commonwealth’s hotel industry after it was released by STR, a global firm that provides insights into hospitality.
STR uses three measures to indicate how hotels are performing: occupancy, the average daily rate paid per room, and revenue per available room.
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According to STR, hotel occupancy rates in Virginia fell by 67% in the second week of April compared to the same week in 2019. The average daily rate paid for hotel rooms in the commonwealth also dropped by 39%, and revenue made per available room dropped to $16.74.
What does this mean for Hampton Roads?
Hampton Roads hotels saw their occupancy rates fall by 55% over the last month compared to the same time period in 2019. Average daily rates per room also fell by 31% and revenues fell by 69% during the last 4 weeks compared to 2019, according to STR.
Hotel occupancy fell by 58% in the Norfolk/Virginia Beach market, according to STR. While the Chesapeake/Suffolk and Newport News/Hampton submarkets are doing a little better than others in the state because they rely on business travelers, revenues still fell in each area.
According to STR, Williamsburg’s hotel industry has performed the worst over the last four weeks out of the Hampton Roads submarkets. Williamsburg has reached record lows for hotel occupancy, rate per room, and revenues made. In the second week of April, occupancy in Williamsburg’s hotels fell 79%.