Sotherly Hotels Inc. (NASDAQ: SOHO) yesterday reported preliminary operating results for the Company’s ten wholly-owned properties,. Accordingly, the actual data does not include the participating condominium hotel rooms of the Hyde Resort & Residences and the Hyde Beach House, the Sheraton Louisville Riverside, or the DoubleTree by Hilton Raleigh Brownstone. In addition, the Company reported no physical damage to its portfolio from Hurricane Ian, the Category 4 storm that made landfall in the US last week.
Preliminary same-store portfolio metrics for the third quarter 2022 were as follows:
| July Results | September Results | |||||||||||||||
| July 2022 | % Variance to 2021 | % Variance to 2019 | September 2022 | % Variance to 2021 | % Variance to 2019 | |||||||||||
| Occupancy | 67.6% | 6.7% | -8.8% | Occupancy | 62.2% | 17.6% | -2.2% | |||||||||
| ADR | $168.84 | -0.7% | 11.7% | ADR | $172.24 | 9.4% | 11.1% | |||||||||
| RevPAR | $112.75 | 5.6% | 1.6% | RevPAR | $105.83 | 23.6% | 8.2% | |||||||||
| August Results | Q3 Results | |||||||||||||||
| August 2022 | % Variance to 2021 | % Variance to 2019 | Q3 2022 | % Variance to 2021 | % Variance to 2019 | |||||||||||
| Occupancy | 58.3% | 6.9% | -11.3% | Occupancy | 62.7% | 10.1% | -7.6% | |||||||||
| ADR | $158.05 | 1.8% | 10.7% | ADR | $166.56 | 3.1% | 11.3% | |||||||||
| RevPAR | $91.04 | 9.1% | -2.1% | RevPAR | $103.18 | 12.1% | 2.5% | |||||||||
"We’re encouraged with these preliminary results for the third quarter, which reflect the sustained recovery of the Company’s operations," commented Dave Folsom, the Company’s President and Chief Executive Officer. "Lodging fundamentals during the first half of the quarter were driven by the continued strength of leisure demand, especially at our coastal destinations. Meanwhile, fueled by an improved returned-to-office rate and an expanded conference schedule, group and transient business travel activity demonstrated an encouraging recovery in September. Notably, occupancy during September, which was only 2.2% off 2019 levels, represented the best comparison versus 2019 since the onset of the pandemic.”
Sotherly Hotels Inc. is a self-managed and self-administered lodging REIT focused on the acquisition, renovation, upbranding and repositioning of upscale to upper-upscale full-service hotels in the Southern United States. Sotherly may also opportunistically acquire hotels throughout the United States. Currently, the Company’s portfolio consists of investments in ten hotel properties, comprising 2,786 rooms, as well as interests in two condominium hotels and their associated rental programs. The Company owns hotels that operate under the Hilton Worldwide and Hyatt Hotels Corporation brands, as well as independent hotels. Sotherly Hotels Inc. was organized in 2004 and is headquartered in Williamsburg, Virginia.