Virginia Beach Reports Strong Hotel Revenue Growth for Third Quarter

July to September hotel sales up 5.5 percent compared to 2013, totaling $128.2 million

Thursday, December 18, 2014

The Virginia Beach hotel industry showed strong revenue growth for the third quarter of 2014 (July to September), according to data released from Smith Travel Research (STR).  

Third quarter hotel sales increased 5.5 percent compared to the same quarter of 2013, generating $128.2 million in revenue.  Hotel sales in 2013 for the same period were approximately $121.5 million in the STR report.  

 

“Our strong third quarter results underscore the great weather and high levels of participation during a variety of events, such as the Neptune Festival, Rock ‘n’ Roll Half Marathon and American Music Festival,” said Virginia Beach Convention & Visitors Bureau Director James B. Ricketts. “This is the third consecutive quarter in which hotel sales have made strong year-over-year increases and we anticipate another record-breaking year in terms of hotel performance.”

 

Year-to-date hotel sales through the end of September increased 5.9 percent, generating approximately $243.2 million in revenue.  That’s considerably higher than 2012 – a record-setting year for hotel sales in Virginia Beach – which totaled approximately $230.9 million during the same nine months.  Hotel sales in 2013 for the same period were roughly $229.7 million in the STR report.

 

In year-to-date measurements compared to 2013, Virginia Beach’s hotel occupancy increased 3 percent.  Average daily rate (ADR) increased 2.1 percent to $128.96, and revenue per available room (RevPAR) was up 5.2 percent to $77.16.

 

Three months – February, April and May – produced the largest gains for Virginia Beach’s hotel industry.  STR reported double-digit hotel sales increases, jumping 13.4 percent, 10.6 percent and 12.5 percent, respectively. 

 

  • February occupancy increased 6.9 percent to 41.4 percent while ADR increased 6.1 percent for the month at $78.38.  RevPAR for the month also was up significantly by 13.4 percent to $32.48.
  • April occupancy increased 6.8 percent to 56.8 percent while ADR increased 3.7 percent for the month at $94.57.  RevPAR for the month also was up significantly by 10.8 percent to $53.73.
  • May occupancy increased 6.6 percent to 64.9 percent while ADR increased 4.2 percent for the month at $118.01. RevPAR for the month also was up significantly by 11 percent to $76.59.    

As a leading revenue generator in Virginia Beach, visitor spending is a driving force for the City’s economy, creating jobs and generating economic impact. In 2013, visitor spending for Virginia Beach reached a record $1.3 billion.  Local travel-supported jobs totaled 12,257 while local and state visitor-related tax revenues were over $108 million. The Virginia Beach CVB is responsible for promoting year-round leisure travel, meetings and convention business, amateur sports events, and international travel to Virginia’s most populous city.

 

Virginia Beach Convention & Visitors Bureau (www.visitvirginiabeach.com)

Where the Atlantic Ocean and the Chesapeake Bay meet, Virginia Beach promises visitors a unique chance to “Live the Life.” Nature at its finest, just-caught and just-picked local food, and toes-in-the-sand relaxation combine for a soul-satisfying experience. A world-renowned boardwalk, energetic downtown, state-of-the-art Convention Center, abundant parks and waterways, and mild weather give rise to an active lifestyle and flourishing local culture. The Virginia Beach CVB is responsible for promoting year-round leisure, business, meetings and conventions, international and sports travel to Virginia’s most populous city. For media information and images, visit www.VisitVirginiaBeach.com/pressroom. Follow Virginia Beach on Twitter at twitter.com/VisitVaBch, Instagram at instagram.com/visitvabeach, Facebook at www.facebook.com/VirginiaBeachVA and Pinterest at www.pinterest.com/visitvabeach.

 

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