New figures out from the American Hotel and Lodging Association show a nationwide increase in hotel revenue due to leisure travel over 2019, with business-related travel coming close to levels pre-pandemic.
The AHLA reports $11 billion in revenue for 2022 for leisure-related hotel stays, 14% higher than 2019 figures. The same report forecasts business-related revenue for hotels at more than $80 billion, but just 1% lower than 2019.
The report mapped out figures for the top 50 markets in the country.
Minneapolis is listed as the #23 market, and it showed declines in both leisure- and business-related hotel revenues. It forecasts Minneapolis will do $147 million in business-related hotel revenue for the year, and more than $15 million in leisure-related hotel revenue.
Howard Anderson, chairman of the Hospitality Minnesota board, said those numbers are hard to forecast because 2019 was a banner year with the NCAA Men’s Final Four in town, among other factors. He also said hotels in Minneapolis continue to see an impact on revenue because of different business models for downtown companies, fewer conventions in town, and the civil unrest of the past two-and-a-half years. He said those factors, among others, may skew the results.
“I don’t know that it’s even,” Anderson said. “Maybe downtown, core Minneapolis is a little bit lower but the suburban areas may be a little bit better.”
The AHLA reports a full recovery of revenue for hoteliers will still take many years as the pandemic continues.