A snapshot of 15 major US hotel markets shows that travel to cities is rebounding, with one notable exception: San Francisco
Several hotel activity metrics, including average price per room, revenue per room, and supply growth, show most major cities have rebounded from the worst of the pandemic. Some, including Miami, Florida, and Austin, Texas, are seeing notable growth in both supply and revenue.
However, San Francisco, a top 3 locale in the decade before the pandemic, is struggling. It faces a decline in tech jobs, slow return of Chinese travelers, reduced downtown traffic as more people work from home, and rising crime and homelessness that has tarnished the city's image. Revenue per available room , a key performance metric, for San Francisco was down 30% in May 2023 from the same month in 2019, data from hotel analytics firm STR shows. Daily room rates averaged $207.72 in May, down 14% from $242.51 in May 2019.
Metrics like ADR and RevPAR are affected by seasonal trends but in San Francisco, the recovery is taking longer than in other major cities.
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