• Sun. May 19th, 2024

Phoenix Inns Score Second-Best Price, Revenue for Tremendous Bowl Weekend

Bynewsmagzines

Feb 24, 2023
Fans walk around downtown Phoenix, outside of the fan experience, ahead of Super Bowl LVII on Feb. 11. (Getty Images)

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As forecasted, Phoenix’s lodge industry rated 2nd all-time amongst Super Bowl host markets in average everyday charge and profits for every out there place in the course of the weekend of the massive video game.

Although the market’s rankings were being as forecasted by CoStar hospitality analytics organization STR, the values had been distinctive than projected. ADR was $538 and RevPAR was $468 for the weekend, beating forecasts, while occupancy was lower than projected at 86.9%.

Modifying for inflation, Phoenix’s true ADR and RevPAR were being effortlessly all-time highs for the marketplace. The real RevPAR price dipped to 3rd between Tremendous Bowl hosts behind Miami in 2020 and New Orleans in 2013.

This year’s major sport took put all through Phoenix’s standard peak period and coincided with the annual WM Phoenix Open, which is the most attended PGA Tour function on the calendar each and every 12 months. The leading ADR for the week was recorded on Saturday at $544, with 22 hotels in the current market accomplishing ADR earlier mentioned $1,000. The market’s past day-to-day ADR records had been recorded when Phoenix past hosted the Super Bowl in 2015.

This was the fourth time that Phoenix hosted the Super Bowl. Miami is the only other town that has hosted 4 occasions. Evaluating 2023 hotel performance to 2008 and 2015, nominal and inflation-modified ADR and RevPAR appreciably outperformed. This 12 months, hotel occupancy was 86.9%, which was decreased than 2015 (93.6%) but over 2008 (83.2%). Nonetheless, this calendar year produced 5,200 far more occupied lodge rooms than 2015. Resort inventory improved by nearly 7,000 rooms all through the similar period of time, up 10.9%, which accounts for the lessen occupancy. 

Comparing to typical performance of the exact week, market ADR and RevPAR showed a far better than $300 premium, or a 150% index for ADR and a 260% index for RevPAR. Occupancy was 13 percentage factors higher than conventional ranges on Thursday and Friday, 18 factors or larger than ordinary degrees on Saturday and 27 points bigger on Sunday.

Almost just about every submarket expert increased than $100 RevPAR rates, but Scottsdale accomplished the maximum premium, followed by Phoenix Central (downtown) and Phoenix West, which homes Point out Farm Stadium. Scottsdale signifies approximately 70% of the of the luxury course hotel place inventory in the market, and with Tremendous Bowl common ticket price ranges all around $8,000, it seems that lots of of the attendees also opted for increased-conclusion lodging.

As previously mentioned, Phoenix drops a place in authentic RevPAR when adjusting for inflation. The New Orleans marketplace obtained increased occupancy when it hosted the match in 2013, which was also bolstered by Mardi Gras festivities developing in the same thirty day period.

However, Phoenix sold 73,000-furthermore extra lodge rooms about the three-day weekend than New Orleans. Phoenix experienced practically two-thirds much more resort place inventory in 2023 than New Orleans had in 2013, hence the change in occupancy.

M. Brian Riley is a senior investigation analyst at STR. Emmy Hise is senior director of hospitality analytics at CoStar Group.

This post represents an interpretation of details gathered by CoStar’s hospitality analytics firm, STR. Be sure to sense cost-free to make contact with an editor with any issues or problems. For far more evaluation of STR facts, go to the facts insights website on STR.com.

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