The year-over-year change in U.S. revenue per available room (RevPAR) has been positive for 53 sequential months through January 2015, according to Fitch Ratings. This represents less than half of the duration of the 112-month recovery that began in the early 1990s. And although closer in duration to the 65-month recovery that started in the early 2000s, Fitch expects further RevPAR gains over the next one to three years based on its review of key lodging cycle indicators. In 2015, Fitch expects RevPAR to increase by 6 percent, based on a 1 percent lift in occupancy and 5 percent average daily rate (ADR) growth. New hotel supply is accelerating, but Fitch’s 1.2 percent growth expectation for 2015 remains below the 2 percent long-term industry average.
