London hotel performance remained steady in December, Melbourne hotels reached record-high room rates in December and Dubai hotel industry closed 2022 with healthy performance.

London hotel average daily rate (ADR) and revenue per available room (RevPAR) came in higher than the 2019 comparable for an eighth consecutive month, according to preliminary December 2022 data from STR.  

• Occupancy: 76.8%
• Average daily rate (ADR): GBP206.87
• Revenue per available room (RevPAR): GBP158.89

London’s ADR and RevPAR levels were up 31.0% and 25.1%, respectively, from the pre-pandemic comparables. Like the rest of the year, occupancy remained below the 2019 comparable (-4.5%).

Daily data for December shows London’s highest occupancy levels were recorded on Saturday, 3 December (93.4%), and Wednesday, 7 December (93.7%). The market recorded daily occupancy levels of 60% or higher throughout the month with only three days falling below the 60% mark (22-24 December).

Melbourne hotels reached record-high room rates in December

Melbourne’s hotel industry recorded its highest monthly average daily rate (ADR) on record, according to preliminary December 2022 data from STR.

• Occupancy: 67.7%
• Average daily rate (ADR): AUD236.53
• Revenue per available room (RevPAR): AUD160.22

The ADR and RevPAR levels surpassed the pre-pandemic comparables by 27.2% and 9.1% respectively, while occupancy remained below the 2019 comparable (-14.3%).

Daily data shows the month’s highest occupancy level was recorded on Saturday, 10 December (90.0%), with the market’s daily occupancy levels remaining above the 60.0% mark throughout the first half of the month. The highest daily ADR and RevPAR levels were reported on New Year’s Eve, at AUD372.23 and AUD300, respectively.

Melbourne’s occupancy on the books for January 2023 (47% as of 2 January) is already higher than actualized January 2022 occupancy (42%). The removal of COVID restrictions in Victoria, along with the Australian Open (Grand Slam tennis) are the primary drivers of performance over last year.

Dubai hotel industry closed 2022 with healthy performance

Dubai’s hotel occupancy came in lower than the pre-pandemic comparable, but average daily rate (ADR) once again pushed revenue per available room (RevPAR) far above 2019 levels, according to preliminary December 2022 data from STR.

• Occupancy: 76.6%
• Average daily rate (ADR): AED892.84
• Revenue per available room (RevPAR): AED684.03

The occupancy level was 2.0% below the 2019 comparable (78.2%), while ADR and RevPAR were 33.8% and 31.1% higher, respectively. Occupancy was slightly ahead of 2019 in both October and November. ADR and RevPAR were well above pre-pandemic levels throughout the year.

December daily data shows Dubai’s highest performance was recorded on New Year’s Eve: occupancy (91.0%), ADR (AED1,765.51) and RevPAR (AED1,606.74). With the exception of four days during the month, daily occupancy levels remained above 70%.

All of STR’s industry analysis can be found here.