Graphic - Source - STR - European Hotel Profitability
  STR Reports European Key Hotel Markets Surpassed 2019 Profitability Levels in July

STR;

Several of Europe’s largest hotel markets, led by Berlin, surpassed their 2019 levels in gross operating profit per available room (GOPPAR), according to STR‘s July 2022 P&L data release.

Berlin’s July GOPPAR reached US$34.32, which was 183% of the pre-pandemic comparable. In June, the market reported GOPPAR at US$98.21, which was 132% of the comparable 2019 level.

Also reporting significant month-over-month improvement in the region, Paris posted a July GOPPAR of US$312.64. That level was the market’s second highest this year behind June (US$347.08). Other key markets, London and Amsterdam, reported GOPPAR that was 105% of the 2019 comparable, at US$172.11 and US$97.65, respectively.

“Europe hotel occupancy stands at just 10% shy of pre-pandemic levels, and many of the markets that were vacant last summer are now bustling with visitors,” said Alex Robinson, STR’s director of industry partners. “In July, London and Paris both reported occupancy at 85%, which was almost double of what it was the year prior. While occupancies have leapt forward, it has been room rates that have been the key driver of recovery. Europe’s July room rates were 27% higher than that of 2019, with Athens, Edinburgh and Rome as standout performers. While concerns may shade European economies in the medium term, European hoteliers have been experiencing a sun-filled recovery in recent months.”

STR provides premium data benchmarking, analytics and marketplace insights for global hospitality sectors. Founded in 1985, STR maintains a presence in 15 countries with a corporate North American headquarters in Hendersonville, Tennessee, an international headquarters in London, and an Asia Pacific headquarters in Singapore. STR was acquired in October 2019 by CoStar Group, Inc. (NASDAQ: CSGP), the leading provider of commercial real estate information, analytics and online marketplaces. For more information, please visit str.com and costargroup.com.