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Hawaii hotels: Flat average daily rate, lower occupancy so far in 2019

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For the first three months of 2019, Hawaii hotels statewide reported flat average daily rate (ADR) and lower occupancy, which resulted in lower revenue per available room (RevPAR) compared to the first quarter of 2018.


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According to the Hawaii Hotel Performance Report published by the Hawaii Tourism Authority (HTA), statewide RevPAR declined to $236 (-3.3%), with ADR of $292 and occupancy of 80.8 percent (-2.7 percentage points) in the first quarter of 2019.

HTA’s Tourism Research Division issued the report’s findings utilizing data compiled by STR, Inc., which conducts the largest and most comprehensive survey of hotel properties in the Hawaiian Islands.

For the first quarter, Hawaii hotel room revenues fell by 4.7 percent to $1.13 billion compared to the $1.18 billion earned in the first quarter of 2018. There were more than 74,300 fewer available room nights (-1.5%) in the first quarter and approximately 190,500 fewer occupied room nights (-4.7%) compared to a year ago. Several hotel properties across the state were closed for renovation or had rooms out of service for renovation during the first quarter.

All classes of Hawaii hotel properties statewide reported RevPAR declines in the first quarter of 2019 except Upper Midscale Class properties ($134, +0.6%). Luxury Class properties reported RevPAR of $452 (-5.4%) with ADR of $594 (-1.2%) and occupancy of 76.1 percent (-3.3 percentage points). At the other end of the price scale, Midscale & Economy Class hotels reported RevPAR of $155 (-5.0%) with ADR of $187 (-0.5%) and occupancy of 83.1 percent (-3.9 percentage points).

Comparison to Top U.S. Markets

In comparison to top U.S. markets, the Hawaiian Islands earned the highest RevPAR at $236 in the first quarter, followed by the San Francisco/San Mateo market at $210 (+15.9%) and the Miami/Hialeah market at $208 (-3.5%). Hawaii also led the U.S. markets in ADR at $292 followed by San Francisco/San Mateo and Miami/Hialeah. The Hawaiian Islands ranked fifth for occupancy at 80.8 percent, with Miami/Hialeah topping the list at 83.0 percent (-2.1 percentage points).

Hotel Results for Hawaii’s Four Counties

Hotel properties in Hawaii’s four island counties all reported RevPAR decreases in the first quarter of 2019. Maui County hotels led the state overall in RevPAR at $337 (-2.7%), with ADR at $428 (-0.9%) and occupancy at 78.6 percent (-1.5 percentage points).

Kauai hotels earned RevPAR of $228 (-10.2%), with flat ADR at $305 (+0.2%) and lower occupancy of 74.8 percent (-8.7 percentage points).

Hotels on the island of Hawaii reported a decline in RevPAR to $225 (-9.7%), due to a combination of decreases in both ADR ($285, -2.0%) and occupancy (79.1%, -6.7 percentage points).

Oahu hotels earned slightly lower RevPAR at $196 (-0.9%), with ADR at $236 (+0.8%) and occupancy of 83.0 percent (-1.4 percentage points).

Comparison to International Markets

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When compared to international “sun and sea” destinations, Hawaii’s counties were in the middle of the pack for RevPAR in the first quarter of 2019. Hotels in the Maldives ranked highest in RevPAR at $575 (+4.5%) followed by Aruba at $351 (+11.2%). Maui County ranked third, with Kauai, the island of Hawaii, and Oahu ranking sixth, seventh and eighth, respectively.

The Maldives also led in ADR at $737 (+5.2%) in the first quarter, followed by French Polynesia at $497 (-1.1%). Maui County ranked fifth, followed by Kauai and the island of Hawaii. Oahu ranked ninth .

Oahu trailed Phuket (84.5%, -6.3 percentage points) in occupancy for sun and sea destinations in the first quarter. The island of Hawaii, Maui County and Kauai ranked fourth, fifth and ninth, respectively.

March 2019 Hotel Performance

In March 2019, RevPAR for Hawaii hotels statewide declined to $227 (-4.3%), with ADR of $285 (-1.1%) and occupancy of 79.6 percent (-2.7 percentage points).

In March, Hawaii hotel room revenues fell by 5.9 percent to $373.3 million. There were more than 27,200 fewer available room nights (-1.6%) in March and approximately 66,850 fewer occupied room nights (-4.9%) compared to a year ago. Several hotel properties across the state were closed for renovation or had rooms out of service for renovation during March. However, the number of rooms out of service may be under-reported.

All classes of Hawaii hotel properties statewide reported RevPAR declines in March. Luxury Class properties reported RevPAR of $443 (-7.2%) with ADR of $583 (-3.1%) and occupancy of 75.9 percent (-3.4 percentage points). Midscale & Economy Class hotels reported RevPAR of $150 (-2.9%) with ADR of $182 (+0.8%) and occupancy of 82.0 percent (-3.1 percentage points).

Hotel properties in Hawaii’s four island counties all reported lower RevPAR for March. Maui County hotels reported the highest RevPAR in March at $336 (-1.4%) with ADR of $421 (-1.6%) and flat occupancy (79.8%, +0.2 percentage points).

Oahu hotels reported lower occupancy (80.4%, -2.3 percentage points) and flat ADR ($230, -0.2%) for March.

Hotels on the island of Hawaii continued to face challenges in March, with RevPAR dropping 11.2 percent to $216, ADR to $272 (-4.9%) and occupancy to 79.2 percent (-5.7 percentage points).

RevPAR for Kauai hotels fell to $213 (-14.6%) in March, with declines in both ADR to $286 (-4.5%) and occupancy to 74.4 percent (-8.8 percentage points).

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Thomas Cook selling its travel business: Chinese investment fund interested

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Thomas Cook is the world’s oldest tour operator and was founded in Market Harborough in 1841 by businessman Thomas Cook. It started off with organized railway outings for members of the local temperance movement.

The travel company received approaches for parts of its business and the company as a whole, according to reports. The business put its airline up for sale in February and it said last month it would close 21 stores across the country and cut more than 300 jobs.

Chinese investment firm Fosun International could be a bidder for the company’s tour operating business, which runs a joint venture with Thomas Cook in China. It could be months before any formal offer is lodged, and there is no guarantee one will be made.

Thomas Cook now has annual sales of £9bn, 19 million customers a year and 22,000 staff operating in 16 countries.

In September, Thomas Cook said profits would be hit after the summer heat wave saw many take their holidays in the UK. It issued a second profit warning in November, when it said winter bookings were also down.

The shop closures will take the number of Thomas Cook outlets down to 566. It said a consultation with staff and unions had begun.

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Magnitude 6.0 earthquake jolts South Sandwich Islands region

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Magnitude 6.0 earthquake rocked South Sandwich Islands region today. No tsunami warning issued.

Preliminary Earthquake Report:

Magnitude 6.0

Date-Time • 22 Apr 2019 14:49:07 UTC

• 22 Apr 2019 12:49:07 near epicenter

Location 56.265S 27.398W

Depth 95 km

Distances • 2414.1 km (1496.7 mi) SW of Edinburgh of the Seven Seas, Saint Helena
• 2549.7 km (1580.8 mi) ENE of Ushuaia, Argentina
• 2555.4 km (1584.3 mi) E of R�o Grande, Argentina
• 2749.7 km (1704.8 mi) E of R�o Gallegos, Argentina
• 2765.0 km (1714.3 mi) E of Puerto Deseado, Argentina

Location Uncertainty Horizontal: 5.1 km; Vertical 5.9 km

Parameters Nph = 63; Dmin = 618.5 km; Rmss = 0.61 seconds; Gp = 36°

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Latest in the Sri Lanka wave of terror: Holy Sites must be respected

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The latest from Sri Lanka in regards to eight deadly terror attacks on Easter Sunday leaves 290 dead and more than 500 people injured.

Among the dead are also foreign tourists including 3 from India, 1 from Portugal, 2 from Turkey, 3 from the UK, and 2 with both a U.S. and U.K. citizenship
9 foreigners are missing, 25 unidentified bodies are also believed to be foreigners.

The German embassy is working on identifying possible German tourists among the victims.

Bombs explosions were reported yesterday in eight locations

  • Katuwapitiya Church
  • Kochikade Church
  • Church in Batticaloa
  • Shangri-La Hotel, Colombo
  • Cinnamon Grand hotel
  • Kingsbury Hotel, Colombo
  • Dehiwala
  • Dematagoda

An improvised explosive device (IED) was discovered in close proximity to the Bandaranaike International Airport in Colombo last night. The IED was successfully diffused and detonated by the members of the Sri Lanka Air Force.  The bomb was discovered along the Adiambalama road, in close proximity to the BIA hours before President Maithripala Sirisena returned to the country.

According to the Crime Division of the Sri Lanka Police (CCD) 13 individuals linked to the attack last night were arrested and 10 of them were later transferred into the custody for further investigations.

Officers of the Wellwatte police late last night managed to take into custody a van and a driver believed to have been used to transport the attackers. 24 people have been arrested thus far in relation to the incidents.

Schools and Universities remain closed, scheduled government examinations have been postponed. The Colombo Stock Exchange last night announced that they would not be open for trading until further notice.

The United States of America and the United Kingdom have issued travel advisories for Sri Lanka.

In the meantime, curfews and social media and instant message shut down are in effect in Sri Lanka.

Sri Lanka had planned to double tourist arrivals next year. This may be a big test to achieve such numbers.

The attacks that took place yesterday has also drawn international condemnation.

Here are some of their messages:

POPE FRANCIS

“I learned with sadness and pain of the news of the grave attacks, that precisely today, Easter, brought mourning and pain to churches and other places where people were gathered in Sri Lanka,” he told tens of thousands of people in St. Peter’s Square to hear his Easter Sunday message.

“I wish to express my affectionate closeness to the Christian community, hit while it was gathered in prayer, and to all the victims of such cruel violence.”

WORLD JEWISH CONGRESS PRESIDENT RONALD S. LAUDER

“World Jewry – in fact all civilized people – denounce this heinous outrage and appeal for zero tolerance of those who use terror to advance their objectives. This truly barbarous assault on peaceful worshippers on one of the holiest days in the Christian calendar serves as a painful reminder that the war against terror must be at the top of the international agenda and pursued relentlessly,” he said in a statement.

ARCHBISHOP OF CANTERBURY, JUSTIN WELBY, SPIRITUAL LEADER OF THE CHURCH OF ENGLAND

“The will to power leads to the murder of innocents in Sri Lanka. The utterly despicable destruction that on this holiest of days seeks to challenge the reality of the risen Christ. To say that darkness will conquer, that our choice is surrender or death. Jesus chose to defy this darkness and he is risen indeed.”

U.S. PRESIDENT DONALD TRUMP

“The United States offers heartfelt condolences to the great people of Sri Lanka. We stand ready to help!,” he tweeted.

INDIAN PRIME MINISTER NARENDRA MODI

“Strongly condemn the horrific blasts in Sri Lanka. There is no place for such barbarism in our region. India stands in solidarity with the people of Sri Lanka. My thoughts are with the bereaved families and prayers with the injured,” he said on Twitter.

PAKISTAN’S PRIME MINISTER IMRAN KHAN

“Strongly condemn the horrific terrorist attack in Sri Lanka on Easter Sunday resulting in precious lives lost and hundreds injured. My profound condolences go to our Sri Lankan brethren. Pakistan stands in complete solidarity with Sri Lanka in their hour of grief,” he tweeted.

RUSSIAN PRESIDENT VLADIMIR PUTIN

“Vladimir Putin expressed condolences to Sri Lanka President Maithripala Sirisena in connection with tragic consequences of terrorist acts,” his English Twitter account said.

GERMAN CHANCELLOR ANGELA MERKEL

“It is shocking that people who had gathered to celebrate Easter were the deliberate target of vicious attacks,” she wrote in a letter of condolence to Sri Lanka’s president.

FRENCH PRESIDENT EMMANUEL MACRON

“Deep sorrow following the terrorist attacks against churches and hotels in Sri Lanka. We firmly condemn these heinous acts. All our solidarity with the people of Sri Lanka and our thoughts go out to all victims’ relatives on this Easter Day,” he said on Twitter.

IRANIAN FOREIGN MINISTER MOHAMMAD JAVAD ZARIF

“Terribly saddened by terrorist attacks on Sri Lankan worshippers during Easter. Condolences to friendly govt & people of Sri Lanka. Our thoughts & prayers with the victims & their families. Terrorism is a global menace with no religion: it must be condemned & confronted globally,” he said on Twitter.

NEW ZEALAND PRIME MINISTER JACINDA ARDERN

“New Zealand condemns all acts of terrorism, and our resolve has only been strengthened by the attack on our soil on the 15th of March. To see an attack in Sri Lanka while people were in churches and at hotels is devastating,” she said in a written statement.

“New Zealand rejects all forms of extremism and stands for freedom of religion and the right to worship safely. Collectively we must find the will and the answers to end such violence.”

SRI LANKA EMBASSY

It was with horror and sadness we heard of the bombings in Sri Lanka costing the lives of so many people. We condemn the horrendous attacks targetting innocent civilians. Our sympathies go out to all the victims. Maldives stands in solidarity with people & Govt. of Sri Lanka.

TORONTO

The Toronto sign has been dimmed in solidarity with Sri Lanka following today’s tragic attacks. We join our Sri Lankan community and our Christian community in mourning those killed and pray for the recovery of those injured.

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No Easter Travel for Palestinian Christians in Gaza

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There are around 1,100 Palestinian Christians in Gaza, many of whom are descended from the earliest Christians in Palestine (where Christianity originated). For the first time, Israeli authorities denied all travel permits to Palestinian Christians from Gaza to celebrate Easter as they do each year, by processing from Bethlehem to Jerusalem to follow the path of Jesus in the Resurrection.

Can such a restriction be justified by security needs only?

Human right watchers say, Israel’s decision to outright deny movement between Gaza and the West Bank this Easter constitutes a further violation of Palestinians’ fundamental rights to freedom of movement, religious freedom, and family life. The increased restriction on the movement of Palestinian Christians points to further implementation of Israel’s ‘separation policy’: a policy restricting movement between Gaza and the West Bank which deepens the split between the two parts of the occupied Palestinian territory.

The number of permits issued has diminished each year, and have included blanket bans on anyone under age 55 – but this is the first year that the Israeli military allowed no  Palestinian Christians from Gaza to travel to Jerusalem for Easter.

While some practice the Latin faith and mark Easter on the 21st of April this year, many others are Eastern Orthodox and celebrate Easter on the 28th. Their traditional ceremonies involve a commemoration of Palm Sunday in Bethlehem, then a procession from the Church of the Nativity in Bethlehem to the Church of the Holy Sepulchre in Jerusalem, where Christians believe Jesus was resurrected after death.

According to the Israeli human rights organization Gisha, “The Coordinator of Government Activities in the Territories (COGAT) published the quotas set by Israel for holiday permits to be granted to for Christian Palestinians living under Israel’s control. The quota allocated by COGAT for holiday permits for Gaza residents this Easter is limited to only 200 people over the age of 55, and only for travel abroad; the quotas for West Bank residents are limited to 400 permits for travel abroad, and visits in Israel. This means that Palestinian families separated between Gaza, Israel and the West Bank will not be able to mark the Easter holiday together. It also means that all Christians in Gaza are being denied access to family and to the holy sites in Jerusalem and the West Bank.

The ban on Gaza Christians comes after Israeli military authorities announced the full closure of the West Bank and Gaza for Palestinian residents during the week of Passover, from April 19th to 27th. Israeli military authorities, which control all aspects of life for the occupied Palestinians living under their rule in Jerusalem, the West Bank and Gaza, frequently closing all Palestinian areas and preventing Palestinians from moving between Palestinian towns during periods of Jewish holidays.

In 2016 at least 850 Christian Palestinians from the Gaza City Strip traveled to celebrate Easter in Bethlehem and occupied East Jerusalem after Israeli authorities agreed to grant them permits.

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