The hotel industry in Newark may be booming, according to CBRE Hotels Americas Research’s March 2018 Hotel Horizons report
Based on the first quarter, CBRE Hotels said Newark’s hotel industry was strong and had a revenue per available room or REVpar gain of 9.9 percent. Three-quarters of the gain, it said, came from increased occupancy at the hotels.
“Newark’s strong Q1 performance, along with a softening of the supply pipeline for 2018, resulted in our 2018 RevPAR forecast being revised upwards from our prior forecast of a 0.2 percent decline to 3.6 percent growth,” said Mark VanStekelenburg, CBRE Hotels.
CBRE Hotels said the RevPAR increase could have been affected by unusual weather in the Northeast during the first quarter. As a result of late winter storms, the hotel industry in Newark benefited.
CBRE’s forecast for Newark’s occupancy rate for 2018 is 75 percent, which is a 1.4 percent increase compared to last year. In 2019, CBRE predicts the rate will drop slightly to 74.8 percent.