Struggling Ireland, Greece show signs of hotel industry recovery

EUROPE The hotel industry in Europe posted positive results in year-over-year metrics for February, with struggling markets like Dublin and Athens showing signs of recovery, according to data compiled by STR Global.

“All European subregions reported growth in occupancy and average room rates for the month,” says Elizabeth Randall, managing director of STR Global. “As one of the top performers this month, Estonia and its capital, Tallinn, which is a European City of Culture 2011, reported 37.2% RevPAR increase. Despite the growth, Estonia reported only €24.26 RevPAR. Iceland, Lithuania and Malta also reported high RevPAR growth for the month, coming from a low base last year.”

Athens achieved the largest occupancy increase for the month, rising 15.6% to 56.7%, followed by Dublin (up 11% to 61.4%) and Antwerp (up 10.8% to 65.7%). Malmo occupancy fell 12.9% to 49.2%, reporting the largest decrease in that metric, followed by Salzburg, which dropped 11.9% to 43.1%.

Four markets experienced ADR increases of more than 20% during February: Geneva (up 29.75 to €242.30), Düsseldorf (up 24.1% to €119.84), Istanbul (up 20.6% to €133.35) and Zürich (up 20.1% to €186.13). Cologne (down 14.1% to €93.24) ended the month with Europe’s only double-digit ADR decrease.

Geneva jumped 39.6% in RevPAR to €162.53, reporting the largest increase in that metric, followed by Düsseldorf (up 32.2% to €82.13) and Gothenburg (up 26.2% to €62.40). Cologne fell 24.1% in RevPAR to €57.33, reporting the largest decrease in that metric.