Washington, D.C.’s boutique hoteliers are looking to bring a new demographic to a market whose approximately 106,000 hotel rooms, about the same number as New York’s, trail only Las Vegas, Orlando and Chicago among the largest U.S. hotel markets.
These operators are also trying to reverse the trend of falling revenue caused largely by federal government spending cutbacks and the resulting reduction in citywide bookings by federal agencies.
Last year, Washington’s revenue per available room (RevPAR) fell 1.7%, representing the only market out of the country’s largest 25 to experience a RevPAR decline, according to STR.
Occupancy fell 1.5 percentage points, to 66%, while average room rates were little changed at about $145 a night.
Meanwhile, Washington is in the midst of a hotel boom: four have opened in the past year, and four more are under way, for a total of 2,472 new rooms.
- Marriott Marquis Washington, D.C. (May): 1,175 rooms
- Hyatt Place Washington D.C./U.S. Capitol (June): 200 rooms
- Hilton Garden Inn Washington D.C./Georgetown Area (May): 238 rooms
- Cambria Suites Washington, D.C. Convention Center (May): 182 rooms
- Homewood Suites by Hilton, New York Avenue N.W. (spring 2015): 114 rooms
- Hampton Inn & Suites, New York Avenue N.E. (spring 2015): 125 rooms
- Hampton Inn & Suites Washington D.C. Ballpark (spring 2015): 168 rooms
- Trump Hotel Washington D.C., in the Old Executive Post Office Building (2015 or 2016): 270 rooms