STR’s preliminary October 2017 data for hotels in Melbourne, Victoria, has indicated performance affected by supply growth.
Based on daily data from October, Melbourne reported the following in year-over-year comparisons:
-Supply: +2.7%
-Demand: +1.1%
-Occupancy: -1.5% to 86.2%
-Average daily rate (ADR): -5.5% at AUD191.62
-Revenue per available room (RevPAR): -6.9% to AUD165.09
STR analysts said the supply and demand growth imbalance negatively affected occupancy and ADR.
“Additionally, an earlier Australian Football League Grand Final (30 September 2017 versus 1 October 2016) was a contributing factor to the year-over-year decline in ADR,” STR analysts said.