Hotels in the Caribbean are seeing strong revenue growth

In November 2012, the Caribbean hotel sector reported significant year-to-date increases in revenue per available room, according to a recent report from STR.

Comparing one year to the next, the Caribbean saw an increase in RevPAR of 11.1 percent to US$113.24, an increase in the average daily rate of 3.8 percent to US$170.50, and an increase in occupancy of 7.1 percent to 66.4 percent. 2012 total room revenue increased 9.1% to US$8.4 billion.

Hotels in the Caribbean reported higher occupancy rates than those in Mexico (+3.1%), Hawaii (+5.3%), Florida (+3.1%), and Central America (-4.7 percent).

Through November, demand in the area increased by 5.1 percent while supply decreased by 1.9 percent.

The total active pipeline for the region includes 50 hotels, totaling 9,495 rooms, according to STR’s pipeline report from December 2012. In the area, five hotels totaling 354 rooms debuted in 2012.