Finance & DevelopmentFinanceSTR: Phoenix RevPAR to Reach Second-Highest Super Bowl Weekend Level

STR: Phoenix RevPAR to Reach Second-Highest Super Bowl Weekend Level

HENDERSONVILLE, Tennessee—Phoenix’s hotel revenue per available room (RevPAR) is forecasted to reach $419 for February 10-12, which would be the second-highest level for a Super Bowl weekend, according to STR.

The market, also hosting the Phoenix Open this week, is projected for Friday through Sunday night occupancy of 94 percent and an average daily rate (ADR) of $445. Even with 11.7 percent more supply in the market, a volume of demand is forecasted to push occupancy slightly higher than Phoenix’s last host year in 2015 (93.7 percent). The ADR level would rank third among host markets behind Miami in 2020 and San Francisco in 2016.

“Phoenix’s jump in RevPAR during its last Super Bowl host year was staggering, and this time around will be no different with big-time growth contribution from both occupancy and ADR,” said Isaac Collazo, STR’s vice president of analytics. “Demand speaks for itself, especially with consumer behavior around the event free of pandemic concerns—unlike the last two Super Bowls. Phoenix’s ADR situation has different influences than recent host markets given inflation and having less upper-tier supply than a Los Angeles or Miami.”

The overall Phoenix market comprises 544 hotels accounting for 70,488 rooms.

“The Super Bowl rarely disappoints for the host hotel industry, but the impact is greater in markets like Phoenix because of an overlap with peak season in the destination as well as a more modest ADR baseline than other major metros,” said Collazo.