
Press room
California Hotels End The Year Down
The hotel industry experienced yet another challenging year in California, resulting in a 1% decline in revenue per available room (RevPAR) compared to a national increase of 1.8% from last year’s figures. Adding to the challenges of the industry, costs are up substantially in virtually all categories including energy, insurance, interest rates, and labor costs. Among the major markets, San Francisco was off the most at -4.9% followed by Los Angeles at -1.5%, struggling to rebound after both the Hollywood writer’s strike and a year of hotel strikes. Only Silicon Valley, San Diego and Sacramento exceeded the national growth rate this past year.