Around this time in the bad old days of 2020, some experts projected that Canadian hotels wouldn’t get back to pre-pandemic levels until 2025 or even 2026.
But the strong summer rebound in travel around the world has some observers suggesting a full rebound is only a few months away.
Real estate firm CBRE says Canadian hotels will return to pre-pandemic revenues next year, two years ahead of its previous forecast.
Canadian Press reports the firm is projecting the Canadian hotels market will end this year at 92 per cent of the revenue per available room achieved in 2019, before the health crisis began. It is forecasting moderate revenue growth will continue into 2023 as hotel operators push for higher room rates.
“Strong leisure travel and a rapid rebound in the average daily rate in many cities is producing a strong hotel performance. Overnight visits from the U.S. continue to recover, along with visitation from other key international markets,” said David Ferguson, CBRE’s hotels director, in a news release.
“Domestic leisure demand has fully recovered, but some international travel remains largely absent, depending on the source,” CBRE officials said in their latest release. “Furthermore, markets that depend on group and corporate travel for a significant percent of demand are still facing some challenges in recovery.”
For Toronto, CBRE projects city hotels will go from 62% occupancy this year to 68% next year. It’s also forecasting 2023 occupancy rates of 68% for Montreal, 66% for Halifax, 76% for Vancouver and 58% for Calgary.
London England. Lucas Davies/Unsplash Photo
QUEEN ELIZABETH FUNERAL HURTS BRITISH ECONOMY: TOURISM TO THE RESCUE
Fox Business reports that, as Great Britain mourns Queen Elizabeth II, time spent off work and canceled events could cost 2.3 billion pounds. But an influx of tourists from abroad and internal travel is expected to mitigate the overall impact.
The site also reports that some hotels are alleged to have doubled their prices to take advantage of tourists wanting to take part in the funeral proceedings.
JAMAICA TOURISM SURGES
The Jamaica Gleaner reports that Jamaica’s tourism earnings are expected to be “significantly higher” this year, exceeding pre-COVID-19 levels.
“We are looking now at earning in excess of $4 billion this year, which would exceed 2019 figures by $500 million to $600 million,” said Tourism Minister Edmund Bartlett.
Cruise ships. Stephanie Klepacki/Unsplash Photo
CRUISE INDUSTRY MARCHES AHEAD
Speaking of recoveries, the cruise industry is going gangbusters. Cruise Industry News reports that 17 new cruise ships will have been delivered to cruise lines around the world this year. TSeven of those have already been delivered, and ten more are set to debut in the last few months of 2022.
Among the cruise lines getting new ships are Carnival, Viking and MSC. Four of the ten ships still to come this year will have a capacity of more than 4,500 passengers.
