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The changes ahead for U.S. hotels in 2025

  • Automatic
  • 23 January 2025
  • 1 minute read
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This article was written by Hospitality Today. Click here to read the original article

Lagging inbound international travel has been a headwind for the U.S. in recent years, but 2025 could see some steady gains in this area

Jan 23, 2025

Hotel companies are experiencing strong demand from feeder markets in Europe, Canada and Latin America. In addition, hoteliers are hopeful that increased outbound travel from India will support the overall outlook. However, West Coast markets that are heavily dependent on Asian travel may continue to face challenges, particularly in destinations such as Hawaii that are dependent on Japanese tourists.

Key takeaways

  • 2025 will be the first year in two years that the hotel industry won’t benefit from the boost from Taylor Swift’s Eras Tour, although there are still major events and concert tours to look forward to. Major acts such as Coldplay, Ed Sheeran and Oasis will be touring in 2025;
  • The hotel industry is now further removed from the labor crisis that followed the COVID-19 pandemic, but staffing challenges remain, especially in remote markets;
  • The lending environment remains tight, with regional and community banks, as well as national banks, still unable to lend at the levels they once did. However, opportunities still exist for investors looking to replenish their capital stack with new sources.

Get the full story at HNN

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