Historically: Builds Into Downturns… Indiana: Supply & Demand % ChangeTwelve Month Moving Average: Jan. 2001 – March 2011
IF All Active Pipeline Opens…over 5.5% Room Supply Increase! Indiana: Active Development PipelineMarch 2011
OCC Growth is Back…ADR Growth much Slower!? Indiana: OCC & ADR % ChangeTwelve Month Moving Average: Jan. 2001 – March 2011
ADR discounts not as extreme as U.S…BUT still takes time! 31 Months -$4.81 Indiana:Actual ADR ($) Twelve Month Moving Average: Jan. 2001 – March 2011
Indiana Segments Customer Segmentation:
Transient – Third party, rack rate, government rate, etc.
Group – Rooms booked in blocks of 10 or more.
Combine Chain Class: Aggregate of branded hotels & independents.
Transient Demand back since 1Q 2010…ADR Growth? Indiana: Transient Room Demand & ADR % ChangeBy Month: Jan. 2004 – March 2011
Group Demand & ADR Growth pretty in-sync…A good thing. Indiana: Group Room Demand & ADR % ChangeBy Month: Jan. 2004 – March 2011
2011 STR Chain SegmentsSelected Brands from each segment Luxury – Four Seasons, Ritz Carlton, Fairmont, InterContinental Upper Upscale – Hyatt, Embassy Suites, Hilton, Marriott Upscale – Hyatt Place, Hilton Garden Inn, Courtyard, Hotel Indigo Upper Midscale – Best Western PLUS/Premier, Hampton Inn, Fairfield Inn Midscale – Best Western, Country Inn & Suites, La Quinta Inn, Sleep Inn Economy – America’s Best Inn, Econolodge, Red Roof, Days Inn
Appears to be a Top Down Recovery… Indiana: Combine Chain Class Demand % Change by Month through March 2011
ADR Data is “Less Bad”…need consistent growth. Indiana: Combine Chain Class ADR % Change by Month through March 2011
Indiana Markets & Beyond….
Indy new room supply leader… Indiana Markets: Room Supply % Change 12 Month Moving Average Jan. 2002 – March 2011
Good News: Strong room demand across the board! Indiana Markets: Room Demand % Change 12 Month Moving Average Jan. 2002 – March 2011
Indy highest OCC % but Gary MSA largest OCC Growth 0.9% 8.7% 2.3% 2.5% 3.3% Indiana Markets & Sub-Markets: Occupancy & % Change1st Quarter 2011