US Hotel Room Revenue Rises 14.2%, Led by San Francisco
US hotel room revenue rose 14.2% in a week, with an occupancy rate of 69.7% and an average daily rate of $179.43.
The revenue per available room (RevPAR) index for US hotels rose 14.2% year-on-year during the week of September 20 to 26, reaching $125.06, according to CoStar data, which tracks weekly hotel performance and is relied upon by companies and investors to follow trends.
Occupancy reached 69.7%, up 6.4% from last year, while the average daily rate (ADR) rose 7.4% to $179.43, meaning growth was driven more by pricing than by guest volume, boosting revenue value without a proportional increase in guest numbers.
San Francisco led cities with the largest jump in RevPAR, climbing 35.1% to $223.16, while Phoenix was the only market among the top 25 to record a decline—a disparity reflecting varying demand across cities and the distinct nature of each market.
The report attributes part of the growth to the shifting timing of the Rosh Hashanah holiday this year, which boosted demand in the comparison week, indicating that some of the increase may be tied to holiday timing rather than a fundamental improvement in demand, warranting caution when comparing figures to the previous week.
What do these terms mean?
Revenue per Available Room (RevPAR): Total room revenue divided by all available rooms, combining the impact of occupancy and room rates together. Average Daily Rate (ADR): The average amount a guest pays per night. Occupancy Rate: The share of occupied rooms out of total available rooms. Weekly Index: A weekly reading of hotel performance tracking short-term trends before monthly data releases.
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