Rod Clough, President – Americas, interviewed Managing Director, Charleston overseeing the Carolinas and Coastal Georgia, on June 10, 2021, to discuss the current Charleston market dynamics and the outlook for recovery.
I recently polled our U.S.-based HVS senior consultants to predict the direction of the hotel industry for 2020. While nationwide occupancy is expected to decline slightly, with ADR increasing only minimally, the outlook for the transactions market remains favorable.
Overall, the pulse of each area within the Southeast region was positive, with some expecting some softening in occupancy this year, which mirrors our overall national sentiment. ADR growth should keep overall RevPAR change in the positive column.
Tourism remains a cornerstone for Charleston, with Condé Nast readers ranking the city the top destination in the U.S. and the world. Other developments across the range of Charleston’s economy are also driving hotel demand and average rates.
Shipping, health care, higher education, tourism, and the military are just some of the industries that diversify Charleston’s economy and help area hotels fare better than in most other markets during the recession.