US Hotels Post Strong June Performance as Occupancy Climbs Above 69%

US hotel performance strengthened further in June, with occupancy climbing to 69.6%, up 1.6 percentage points from the prior year, according to industry data. Average daily rates rose 6.7% to $173.76, while revenue per available room, the industry's key performance benchmark, jumped 8.4% to $120.97.

The gains extend a strong run for domestic hotels that has continued into July on event-driven demand in several major markets, part of a broader year in which the global hospitality market has been valued at more than $1.2 trillion, a record figure surpassing all previous benchmarks.

Luxury and wellness-focused properties have been the fastest-growing segments by revenue per available room, with spa resorts and longevity-focused wellness hotels reporting particularly strong occupancy and longer average stays compared to standard leisure properties.

Hotel executives have pointed to steady leisure demand, a resilient corporate travel recovery, and this year's America250 anniversary events as tailwinds supporting performance, even as some economists have flagged softer spending among budget-conscious travelers as a risk to watch for the back half of the year.