- San Francisco is leading the way with significant improvements in hotel performance metrics. This has been boosted by major events.
- Houston suffers a sharp drop in occupancy and revenues, which is influenced by the dynamics of recovery following a disaster.
CoStar’s most recent data shows that the U.S. hospitality industry experienced a drop in performance metrics over the past week, ending on August 9, 2025. CoStarThe overall performance of this sector has declined year-over-year, according to, a leading provider of real estate data analytics.
The national occupancy rate for the week of August 3, 9-2025 was 68.0%. This represents a decrease of 1.0% compared to 2024. The average daily rates (ADR) dropped by 0.6% and settled at $159.61. Meanwhile, revenue per available rooms (RevPAR), fell 1.6% to $108,47.
San Francisco is a top performer, with notable gains in all key metrics. The occupancy rate in the city increased by 12.8%, reaching 81.5%. ADR climbed 8.3% to $202,29, while RevPAR rose by 22.2%. The World Transplant Congress was the main reason for this strong performance.
Houston, on the other hand, faced the greatest challenges. Houston’s occupancy dropped from 27.5% to 55.3 % and RevPAR fell by 34.6% to 61.38%. These declines have been attributed by the industry to Hurricane Beryl, which caused temporary increases in demand in 2024 due to displacement.
Overall, the U.S. hospitality industry is facing a complex environment. Some markets thrive due to demand driven by events, while other markets struggle with the lingering effects of past disruptions.
