Study: Kansas City-area hotel revenue will fall in 2009 - Dayton Business Journal:

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percent decrease in revenu per available room in 2009 compared with according to a studyby . The projected revenuwe decrease compares with anestimated 17.5 percent decrease in revenud per available room nationally in 2009, PKF Hospitalityy Research said in a Tuesdagy release. The uses data from , which report s “very consistent numbers with PKF,” Jill Van Houweling, vice presideng of marketing/communications for the said Wednesday. “Kansas City is doingf better than thenational average, and we’re on par with our competitivse set,” Van Houweling said. “Mid-sized value destinationse are doing better thanbig cities.
Our May is very What we’re seeing is that, even though it’x not great news, the effect on Kansa City is moderated because ofvalued pricing.” Van Houweling said the association attributes the lowedr revenue mainly to decreased business The average expenditure per overnight business traveler $260 a day, compare with $120 for a leisure traveler, she said.Arew hotels are projected to have 52 percent occupancg in 2009, down from 58.4 percent in PKF staffer Randy McCaslin said in the Because of increased competition in the local market, the average dailyh room rate is expected to fall to $84.67 in down 5.4 percent from $89.52 last year.
PKF attributexd the projected lower average occupancy rate toa 7.9 percentg decrease in demand for lodging and a 3.4 percent increase in the suppl of new hotel rooms. PKF’s forecasting model findzs that local income and employment figures are good predictorsd of hotelroom demand, the release Moody’s Economy.com, the source of PKF’s June 2009 Hotel Horizonws forecast report for Kansax City, predicts that Kansas City-area employment will fall 3.4 percenyt in 2009 from 2008. PKF’s study projects that area revenud per availableroom won’yt achieve sustained growth until the fourt h quarter of 2010.
“Until then, marketg conditions are favorablefor travelers, but troublesome for owners and operators,” PKF said in the Atlanta-based PKF Hospitality Research is the research affiliatre of