Us hotel sector enjoys record year
The latest US hotel industry data, from statistics portal Statista, has revealed 2013 to be a record-breaking year for the sector. Across the year, the industry reported revenue of $163 billion - the highest level of income recorded in a single year, according to Statista's figures. The data follows a steady rise in hotel industry annual revenue that has been taking place since 2009, and beats the previous peak of $156.4 billion recorded in 2007.
The continuing recovery of the sector is excellent news and predictions for its future are equally strong. The PwC Hospitality Directions: May 2014 report, estimates that rebounding economic momentum will lead to a solid growth of 6.5% RevPAR in 2014. This reduces to 1.3% in 2015, as supply growth accelerates, but this is offset by a projected 5.1% growth in average daily room rates as many hotels hit their occupancy constraints, with a resulting acceleration in pricing power.
The state of North Dakota is certainly showing evidence of the supply growth referred to by the PwC report. Leading developer, North Dakota Developments, has achieved sell out success with its innovative Great American Lodge executive hotel studios over the past two years, with demand driven by the need to house the tens of thousands of workers drawn to the state's Bakken Formation oilfields.
North Dakota Developments has proudly revealed its latest plans for workforce accommodation in the area - the Transhudson Hotel Parshall. Parshall, which this year celebrates the centenary of its founding, has been flooded with oil and service sector workers seeking accommodation, along with many other North Dakota towns. Thanks to the oil play unfolding within the Bakken region, and companies such as North Dakota Developments, the hotel industry is stepping up to meet demand.
Investors are also flooding the market, keen to benefit from the outstanding opportunities that the Bakken oil play has created.
Robert Gavin, Group CEO of the award-winning North Dakota Developments, comments: "Now we are seeing the Parshall area contribute to the US hotel sector's record-breaking success as well. It makes me proud that North Dakota Developments' new Transhudson Hotel Parshall will be part of the sector's ongoing success, while at the same time improving life in Parshall as part of the new Bolkan Plaza development, which will provide food and recreational outlets as well as the accommodation offering.
"Housing 408 suites in total, the hotel will follow the high standards for which North Dakota Developments has become known. Our ethos is to build more than just a room and our hotel will therefore include a wide range of recreational facilities, providing residents with the latest entertainment offerings alongside their high quality suites."