STR’s preliminary October 2017 data for hotels in London, England, indicates a year-over-year decline in occupancy levels, but the average daily rate (ADR) grows 2.3% to £152.27.
This marks the lowest October occupancy level recorded in London since 2006, but the second-highest ADR for any October month since 1994. Because demand grew year over year, STR analysts attribute the decline in occupancy to the significant increase in supply.
Demand for hotels increased by 2%, but supply outweighed this and increased by 4%. Overall occupancy decreased by 1.9% to 83.4% based on the same time period last year. Revenue per available room (RevPAR) increased by 0.4% to £126.96.
Absolute performance levels were especially strong during Helitech International helicopter expo & conference (3-5 October). Occupancy was 94.8% and 96.3% during the first two nights, while ADR was 182.38 and 185.28, respectively.