Overview
- Cushman & Wakefield reports Canada closed 2025 with record national RevPAR of $142.89, up 4.1% year over year, with gains led by average daily rate.
- CoStar data show U.S. hotels posted January 2026 RevPAR of $79.69, up 0.4% for the first monthly increase since March 2025, with ADR up 0.6% and occupancy down 0.2%.
- Market performance diverged: Minneapolis led January gains (occupancy up 17.5%, RevPAR up 25.9%) tied to federal agent activity and protests, while Miami’s ADR rose 12.4% on the CFP Championship Game.
- Washington, D.C., saw sharp declines on tough year-ago comparisons linked to the 2025 inauguration, and Tampa registered the largest occupancy drop at 14.9%.
- Outlooks point to moderate growth—HVS projects 2.2% U.S. RevPAR growth in 2026 and cap rates easing toward about 8.3% as more distressed assets transact—while Canada is expected to see pricing lift and event-driven compression, including FIFA matches in Toronto and Vancouver, alongside ongoing cost and labor pressures.