CBRE Hotels’ Americas Research has raised its 2018 forecast for Newark hotels after the local market’s better-than-expected first quarter.
Newark hotels enjoyed an almost 10 percent improvement in revenue per available room, mostly through boosted occupancies. As a result, the city’s America Research forecast for 2018 has been raised to 3.6 percent growth, up from a projected decline of 0.2 percent.
The weather contributed to the first-quarter performance, with numerous late-winter storms benefitting Newark’s hotel industry, according to the report.
For the year, CBRE is forecasting a 75 percent occupancy rate. That would be a 1.4 percent increase from the previous year.
The report suggests occupancy rates will drop slightly in 2019, to 74.8 percent.