Performance results for the U.S. hotel industry in 2025 fell short of expectations. Revenue per available room, or RevPAR, slipped 0.3%, driven by a 1.2% drop in occupancy as room demand dipped below 2024 levels, an uncommon trend in a non‑recessionary environment.
US hotel industry performance slid in 2025, despite healthy economic growth
Unusual decline in revenue per available room outside of a recession
By Jan Freitag
CoStar AnalyticsJanuary 26, 2026 | 9:59 P.M.
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