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Travel News

Hawaii hotels continue to report substantially lower revenue, occupancy

Hawaii hotels continue to report substantially lower revenue, occupancy
Written by Harry S. Johnson

In July 2020, Hawaii hotels statewide continued to report substantially lower revenue per available room (RevPAR), average daily rate (ADR), and occupancy compared to July 2019 due to the COVID-19 pandemic.

According to the Hawaii Hotel Performance Report published by the Hawaii Tourism Authority’s (HTA) Tourism Research Division, statewide RevPAR declined to $36 (-86.0%), ADR decreased to $174 (-42.7%), and occupancy fell to 20.9 percent (-64.4 percentage points) (Figure 1) in July.

The report’s findings utilized data compiled by STR, Inc., which conducts the largest and most comprehensive survey of hotel properties in the Hawaiian Islands.

In July, Hawaii hotel room revenues statewide fell by 92.3 percent to $33.3 million from $434.1 million a year ago. Room supply declined to 914,900 room nights (-45.4%) and room demand dropped to 191,300 room nights (-86.6%) (Figure 2). Many properties closed or reduced operations starting in April 2020. During July, all passengers arriving from out-of-state were required to abide by a mandatory 14-day self-quarantine, but interisland travelers did not have to quarantine.

All classes of Hawaii hotel properties statewide reported lower RevPAR, ADR and occupancy in July compared to a year ago. Luxury Class properties earned RevPAR of $40 (-91.9%), with ADR at $396 (-34.6%) and occupancy of 10.2 percent (-72.8 percentage points). Midscale & Economy Class properties reported nearly identical RevPAR ($40, -73.1%), with ADR at $139 (-21.9%) and occupancy of 29.1 percent (-55.4 percentage points).

Maui County hotels reported RevPAR of $25 (-93.0%), with declines in both ADR to $206 (-52.4%) and occupancy of 12.1 percent (-70.7 percentage points) in July. Data for the month of July was not available for Maui’s luxury resort region of Wailea. The Lahaina/Kaanapali/Kapalua region had RevPAR of $6 (-98.0%), ADR at $139 (-61.9%) and occupancy of 4.3 percent (-78.0 percentage points).

Oahu hotels reported RevPAR of $40 (-82.8%) in July, with ADR at $170 (-35.0%) and occupancy of 23.3 percent (-64.6 percentage points). Waikiki hotels earned $34 (-84.8%) in RevPAR with ADR at $170 (-33.3%) and occupancy of 20.0 percent (-67.8 percentage points).

Hotels on the island of Hawaii earned RevPAR of $40 (-81.7%) in July, with ADR at $164 (-38.2%) and occupancy of 24.7 percent (-58.7 percentage points). Data for the month of July was not available for the Kohala Coast.

Kauai hotels reported RevPAR of $38 (-83.6%) in July, with ADR at $175 (-41.7%) and occupancy of 21.6 percent (-55.1 percentage points).