Market Trends

🏨 New York City saw notable increases from 19-25 July 2026, with ADR up 28.1% to $375.12 and RevPAR rising 35.0% to $348.62, influenced by the World Cup final. Meanwhile, Philadelphia's occupancy grew 9.0% to 77.1%. Las Vegas suffered declines, with occupancy down 15.9% to 65.7%, ADR dropping 5.4% to $176.38, and RevPAR decreasing 20.4% to $115.88, attributed to last year's concerts by Beyoncé and Backstreet Boys.

🏨 In June and early July, U.S. hotel RevPAR rose by about 8.0%, with a projection of 4.5% growth for 2026. This growth was fuelled by the World Cup, with RevPAR in host cities spiking by 15%-20%. National RevPAR increased by 8.1% for the 28-day period ending July 18. The average cap rate for Q2 2026 decreased to 7.7%, with sales volume up 9.1% from Q1, driven by higher sales prices despite fewer transactions.

🏆 In 2026, hotels across North America faced operational pressures during the FIFA World Cup. Analysis of 1,819 hotels and 224,171 reviews in 14 host cities showed a 10.9% increase in review volume. Mexico’s Global Review Index (GRI) rose 0.45%, outperforming the US's 0.16% increase, with Food and Beverage scores soaring by 9.27 points. Review patterns shifted, with solo travel rising by 5.7% in the US and 17.8% in Mexico, highlighting operational shifts.

🌐 Global travel and tourism grew 4.1% in 2025, surpassing the global economy's 2.8% growth, per WTTC. Asia-Pacific surged 8.1% to US$3.29 trillion, while North America lagged at 1.0%. Expect US$16 trillion in the sector by 2035 with 150 million new traveling households. Growth moves from mature markets to emerging ones, challenging sales teams to generate demand rather than harvest existing demand. Hiring should focus on judgment over tool fluency to thrive in data-scarce markets.

💰 March 31, 2026: Booking Holdings held $8.2 billion in deferred merchant bookings, up from $6.9 billion the previous year. In Q1 2026, merchant revenue rose 26.7% to $3.70 billion, while agency revenue fell 2.3% to $1.53 billion. Merchant bookings grew by five percentage points over a year, now accounting for 72% of all bookings. Booking’s payout methods impact cash flow, with payouts occurring post-stay and varying by schedule and location.

🏠 The Willow Play Cafe in Toronto’s Junction district, designed by Denizens of Design and DS Studio, transforms a former dive bar into a family-friendly destination combining café atmosphere with play areas. London’s Everyman at the Whiteley, revamped by Fusion Design & Architecture, offers six auditoriums and vibrant bar spaces. Mason & Fifth in Westbourne Park, by AHMM and TiggColl, integrates wellness, coworking, and social spaces. Moments Tirol in Austria, by Büro Schmücking, merges café, bar, and store into a cultural hub.

📈 Q2 2026, Portsmouth, NH: The Latin America Construction Pipeline Trend Report highlights a slight YOY increase in hotel projects, reaching 759 projects and 111,340 rooms. As of mid-2026, 284 projects with 43,840 rooms are under construction. Additionally, 172 projects account for 27,149 rooms. This growth underscores the ongoing expansion of the hotel industry in the region.

🏨 Q2 2026, Lodging Econometrics reports 759 hotel projects and 111,340 rooms in Latin America's construction pipeline. By mid-2026, 284 projects and 43,840 rooms are under construction. Mexico leads with 234 projects and 33,131 rooms. City leaders include Mexico City (25 projects), Lima, and Georgetown. 35 new hotels opened, with 104 expected by year-end. Projections for 2027 include 114 new hotels, and 2028 forecasts 123 new hotels, expanding the region's supply significantly.

🏨 Despite economic pressures, the hotel industry thrives. Glenn Haussman interviews Bruce Ford, SVP at Lodging Econometrics. Business travel is weak, and construction faces cost and financing hurdles, yet hotels perform well. Consumers continue traveling, and hotel owners pursue deals. The industry remains resilient, contrasting with broader economic concerns.

📰 In a recent Hotel Moment podcast episode, Dylan Cole from Revinate and Lily Wecker of Aethos discussed evolving luxury trends in hospitality. Aethos recently opened a restaurant in London and targets experiential luxury, attracting mainly Gen Z and Millennials, with over half of their guests under 40. Their approach favors high emotional density over exclusivity, promoting connection and mindfulness. Aethos’ Milan property exemplifies this by encouraging guest interaction. The ultimate goal for Aethos is fostering a sense of belonging.