Canada’s hotel industry recorded its highest average daily rate ever in February 2025. But the occupancy rate was slightly only 57.7%, down slightly year-over-year.
Hotel industry analysts at Baird expressed caution about softening March demand trends, noting that U.S. RevPAR growth is tracking over 200 basis points below initial expectations.
Hotel stocks face pressure amid analyst downgrades, mixed industry performance data, and various property transactions. Companies like Hyatt, Gencom, and Ashford Trust announced changes.
U.S. hoteliers expect strong group sales growth by 2025, driven by demand from tech, healthcare, and construction, with resorts seeing the fastest increase despite federal spending concerns.