1. Business Development Associate
Hotel Industry Overview ORLA Convention: Oregon Lodging Industry Trends Breakout
Allison Cowan
Business Development Associate

2. Business Development Associate
Welcome!
Allison Cowan
Business Development Associate
linkedin.com/in/allisoncowan
Allie_STR

3. 71%
of U.S. rooms participate with STR

4. 47,000 6.1 million STR provides monthly, weekly and daily reports
to more than
worldwide hotels,
which represent
rooms.
47,000
6.1 million

5. What We Do KPIs Raw Data Collected: Total Rooms Available Occ
(Key Performance Indicators)
Occ
(Occupancy)
ADR
(Average Daily Rate)
RevPAR
(Revenue per Available Room)
Raw Data Collected:
Total Rooms Available
(Supply)
Total Rooms Sold
(Demand)
Total Room Revenue
(Revenue)

6. Presentation is available for download.
To view this presentation, go to the “Data” drop-down menu on and click “Data Presentations”.

7. Agenda October 14, 2013 Total U.S. Overview State of Oregon
Deeper Dive Into Oregon
Pipeline
Future Performance
Q&A

8. Total U.S. Review

9. Demand Growth Back to Normal. RevPAR Driven by ADR.
LIIC ALIS 2013
Demand Growth Back to Normal. RevPAR Driven by ADR.
% Change
Supply* bn 0.7%
Demand* bn 2.4%
Occupancy % %
ADR* $ %
RevPAR* $ %
Room Revenue* $121 bn 6.6%
Total U.S. – Key Performance Indicators
12 MMA through August 2013
* All Time High

10. July 2013: Highest Monthly Room Revenue EVER ($12.2 Billion)

11. Favorable Supply / Demand Fundamentals for 2013
7.7%
2.3%
-0.9%
- 4.7%
7.1%
Total U.S. – Supply & Demand % Change
12 MMA January – August 2013

12. ADR Growth Stalls. Smooth Sailing From Here?
7.5%
6.8%
4.0%
-4.5%
-8.9%
Total U.S. – ADR & Demand % Change
12 MMA January – August 2013

13. Positive RevPAR Growth For The Foreseeable Future9%
8.6%
112 Months
65 Months
36 Mo.
-2.6%
-10.1%
-16.8%
Total U.S. – RevPAR % Change
12 MMA January – August 2013

14. Inflation Adjusted ADRs Still Not Reached – Yet
$119
2008 ADR Grown By CPI
$107
$101
2000 ADR Grown By CPI
$85
$85
$104
$107
$111
$116
Total U.S. – ADR $ and Inflation Adjusted ADR $, 2000 – 2014F
2000 – 2012 CPI from bls.gov, 2013– 2014 CPI from Blue Chip Economic Indicators

15. State of Oregon

16. High Growth, Surpassing Peak
72.3%
66.9%
63.4%
63.5%
58.8%
61.5%
62.3%
Neighboring States: %Change & Actual OCC
YTD August 2013

17. California At Least $20 Higher Than Neighbors
$130.67
$109.66
$99.08
$96.88
$104.99
$93.18
$87.04
Neighboring States: %Change & Actual ADR
YTD August 2013

18. Oregon Close To Double Digit RevPAR Growth
$94.42
$73.35
$62.79
$61.54
$61.78
$57.27
$54.26
Neighboring States: %Change & Actual RevPAR
YTD August 2013

19. Deeper Dive Into Oregon

20. Portland Market

21. Portland Market Hotels 263 Rooms 25,924 Sample 89% Supply 6.3m 0.0%
Demand 4.5m* %
Occupancy 72% %
ADR $107* %
RevPAR $77* %
Room Revenue $482m* %
Portland Mkt: Key Performance Indicators
August YTD 2013
*All time high

22. Supply Not An Issue, Strong Demand Growth Continues
Portland Mkt: Room Supply & Demand %Change
12MMA 2001 to August 2013

23. Year After Year of (almost) Continuous Growth
Portland Mkt: ADR, OCC & RevPAR %Change
August YTD 2010– 2013

24. Weekday= Sunday-Thursday Weekend= Friday & Saturday

25. Weekday OCC: Chart Topping Rooms Sold
Portland Mkt: Actual Weekday OCC by Month 2007 & Jan 10’- Aug’13

26. Weekday ADR: Highest August Rate On Record
+$6.87
Portland Mkt: Actual Weekday ADR by Month 2007 & Jan 10’- Aug’13

27. Weekend OCC: August Selling 9 Out Of 10 Rooms
Portland Mkt: Actual Weekend OCC by Month 2007 & Jan 10’- Aug’13

28. Weekend ADR: Strong Rate Growth
+$18.88
+$6.81
Portland Mkt: Actual Weekend ADR by Month 2007 & Jan 10’- Aug’13

29. Portland Submarkets Beaverton/Sunset Hwy West: Hotels: 35 Rooms: 2,975
Lake Oswego/ I-5 South:
Hotels: 47 Rooms: 3,718
Portland Airport/ Vancouver:
Hotels: 84 Rooms: 8,315
Portland Downtown:
Hotels: 50 Rooms: 7,499
Portland I-84/ I-205 East:
Hotels: 47 Rooms: 3,417
Portland Submarkets: August YTD 2013

30. Downtown & Beaverton With Strong Performance
62%
$75
80%
$145
70%
$88
68%
$96
78%
$101
Portland Submarkets: OCC & ADR %Change YTD August 2013

31. 9%+ RevPAR Growth Across the Board
$45.94
$113.68
$61.06
$64.56
$77.54
Portland Sub-Markets – RevPAR % Change YTD Ending August 2013

32. Oregon Area Market

33. Oregon Area Market Hotels 652 Rooms 38,973 Sample 55%
Supply 9.4m* %
Demand 5.5m* %
Occupancy % %
ADR $92* %
RevPAR $53* %
Room Revenue $503m* %
OR Area Mkt: Key Performance Indicators
August YTD 2013
*All time high

34. Strong KPI= Favorable Supply/Demand
Oregon Area Mkt: Room Supply & Demand %Change 12MMA 2001 to August 2013

35. Positive OCC/ADR Mix Across The Board
Oregon Area Mkt: ADR, OCC & RevPAR &Change
August YTD 2010– 2013

36. Weekday= Sunday-Thursday Weekend= Friday & Saturday

37. Weekday OCC: Still Playing Catch Up From 2007
Oregon Area Mkt: Actual Weekday OCC by Month 2007 & Jan 10’- Aug’13

38. Weekday ADR: Breaking Records
$9.82
$9.33
Oregon Area Mkt: Actual Weekday ADR by Month 2007 & Jan 10’- Aug’13

39. Weekend OCC: Finally Surpassing Peak
Oregon Area Mkt: Actual Weekend OCC by Month 2007 & Jan 10’- Aug’13

40. Weekend ADR: Breaking Records…Again
$9.94
$8.64
Oregon Area Mkt: Actual Weekend ADR by Month 2007 & Jan 10’- Aug’13

41. Oregon Area Submarkets
Bend/Redmond:
Hotels: 60 Rooms: 3,983
Oregon West Area:
Hotels: 280 Rooms: 16,462
Eugene MSA:
Hotels: 71 Rooms: 4,711
Medford/ Grants Pass:
Hotels: 89 Rooms: 5,137
Oregon East Area:
Hotels: Rooms: 8,680
Oregon Area Submarkets: August YTD 2013

42. 3 of 5 Submarkets Surpassing Peak
63%
$104
61%
$81
57%
$98
63%
$87
53%
$83
Oregon Area Submarkets: OCC & ADR %Change
YTD Ending August 2013

43. Strong RevPAR Growth Across the Board
$66
$49
$56
$55
$44
Oregon Area Sub-Markets – RevPAR % Change
YTD Ending August 2013

44. Pipeline In Construction: Ground has been broken
Final Planning: Construction will begin within 12 months
Planning: Construction will begin within months Pre-Planning: Construction will begin in more than 24 months

45. Total U.S. – Rooms in Active Pipeline %Change From Last Year
Rooms in the Active Pipeline Accelerating
Phase
August 2013
August 2012
Difference
% Change
In Construction
78,739
66,071
12,668
19.2%
Final Planning
124,591
106,281
18,310
17.2%
Planning
126,337
132,259
-5,922
-4.5%
Active Pipeline
329,667
304,611
25,056
8.2%
Total U.S. – Rooms in Active Pipeline %Change From Last Year

46. Under Construction Rooms Mostly In Middle Segments
Total U.S. – Rooms Under Construction
‘000s Rooms, by Scale, August 2013

47. Portland Market Pipeline Snapshot

48. Oregon Area Market Pipeline Snapshot

49. Forecasts

50. Total U.S. Forecasts (%Change vs. Prior Year) 2013 - 2014
ADR to Drive RevPAR for the Next 2 Years
2013
Forecast
2014
Supply
0.8%
1.1%
Demand
2.2%
2.4%
Occupancy
1.4%
1.3%
ADR
4.2%
4.6%
RevPAR
5.7%
6.0%
Total U.S. Forecasts (%Change vs. Prior Year)

51. Portland Market- STRA Custom Forecast
2013
Forecast
2014
%Chg.
Occupancy
70%
4.1
0.5%
ADR
$107
7.0%
$114
6.8%
RevPAR
$75
11.4%
$80
7.3%

52. Oregon Area Market- STRA Custom Forecast
2013
Forecast
2014
%Chg.
Occupancy
56%
5.2%
57%
0.5%
ADR
$91
3.0%
$94
3.3%
RevPAR
$50
8.4%
$53
5.5%

54. 5 Things to Know Total U.S.- Positive Demand, Rate Driven Recovery
Oregon- Strong Performance Across the Board
Portland- Setting KPI Highs
Oregon Area- Demand Recovering, Rate Driven Recovery
Outlook- Steady As She Goes

55. Allison Cowan
x3420