Orlando-area hotels post stellar gains in September

Metro Orlando hotels last month posted their best September numbers in seven years, but their sluggish 2016 continues to trail national industry averages in key metrics.

Occupancy, average daily room rates and revenue per available room posted yearover-year gains in Metro Orlando, defined as Sanford, Orlando and Kissimmee, according to STR, which globally tracks the hotel industry.

“It’s fantastic news,” said George Aguel, president and chief executive officer of Visit Orlando, the region’s tourism arm. “We know how much emphasis we place on September as a target month for us.”

Visit Orlando’s data reflected the strongest September the region’s hotels have had in 20 years.

“To even be at the levels we are at, comparatively speaking, is very good,” he said.

The region’s occupancy rate of 67.9 percent made for a solid September, but it was about a percentage point below the national average, according to STR.

Metro Orlando’s occupancy rate typically is higher than the national average. Year-to-date, the region’s average occupancy rate is 76.42 percent, above the nationwide average of 53 percent in 2015.

Demand, another crucial measure for the region’s hotel industry, also saw a significant boost in year-over-year figures, an increase of 8.9 percent. The region’s supply was up 1.4 percent compared to last September, according to STR data.

Revenue per room, or RevPAR, for September was $67.83, an increase of 16.9 percent. Room rates averaged $99.95, up from $91.82 last September, per STR.

Despite increases locally, Metro Orlando, a Top 25 market, again underperformed compared to national averages of $87.40 for September’s RevPAR and room rates of $127.07 for the month.

Aguel said September is typically a slow month for the region.

From February through August, the region’s hoteliers saw year-over-year occupancy rates fall, while other metrics also reflected lower performance.

September was likely so strong because of the timing of multiple holidays this year, including Rosh Hashanah and Yom Kippur, said Jan Freitag, STR’s senior vice president for lodging insights.