NATIONALLY, occupancy rates levels were up by 0.9 points to 53.3% in the first quarter of 2011 compared with the same period in 2010. However, the average daily room rate decreased by 5.2% to $121.45. As a result Revenue Per Available Room (RevPAR) decreased to $64.79, a 3.5% decline relative to the first quarter of 2010.
IRevPAR performance was up in both Atlantic and Central Canada, with increases in occupancy and ADR, but down in Western Canada, primarily as a result of significant declines in average daily rates.
ATLANTIC CANADA RESULTS – RevPAR was up 4.3% in Atlantic Canada during the first quarter. The market experienced a 0.9 point increase in occupancy to 48.3% and a 2.5% increase in average daily room rate to $109.98. This resulted in a RevPAR of $53.14 compared to $50.93 in the first quarter of 2010. Atlantic Provinces showed increases in occupancy from the same quarter last year with the exception of Newfoundland where the reported occupancy decreased by 0.9 points. Hotels in Nova Scotia reported the highest increase within the region in the average daily room rate, up 3.4% over the same period last year.
CENTRAL CANADA RESULTS – RevPAR was up 7.9% in Central Canada during the first quarter of 2011 compared to the first quarter of 2010. The market achieved an increase of 2.8 points in occupancy to 53.2% and a 2.3% increase in average daily room rate to $121.40. This resulted in a RevPAR of $64.59 compared to $59.85 in the first quarter of 2011. Occupancy performance was led by Toronto Airport (68.7%), while the highest average daily room rates were achieved in Downtown Toronto at $152.50.
WESTERN CANADA RESULTS – RevPAR was down 14.6% in Western Canada during the first quarter, however this was driven primarily by the declines in British Columbia measured off the impacts of the Olympics in the first quarter of 2010. In fact, RevPAR was up in Alberta, Manitoba, the Yukon and in the Northwest Territories and was down only 1.7% in Saskatchewan. Occupancy for the hotels tracked by PKF showed a decrease of 1.2 occupancy points to 54.3% for the first quarter of 2011. However, occupancy increases were reported in most provinces of Western Canada with the exception of Saskatchewan (down 2.3 occupancy points) and British Columbia (down 5.8 occupancy points). Properties in Western Canada reported a $123.11 average daily room rate, a drop of 12.6% over the same period last year. However modest rate growth was experienced in all provinces other than BC. First quarter results for 2011 showed British Columbia reporting a 24.7% decrease in average daily relative to the first quarter of 2010 as a result of the 2010 Winter Olympics held in Vancouver and Whistler. Revenue Per Available Room in British Columbia dropped by 32.5% to $61.11 in the first quarter of 2011 relative to the first quarter of 2010.
