In 2023, the Canadian Hospitality market reached a significant milestone, eclipsing 2019 market occupancy finishing the year at 65.7% versus 65%. ADR finished the year at an impressive 21% higher than 2019. On a National level, this recovery from COVID took just over 3 years which is remarkable given the extent of the fallout from the pandemic.
The outlook for growth continues to be positive despite a muted economic outlook and high interest rates. As shown in our Outlook, the pace of growth has slowed through the last 12 months as markets return to normalization. The majority of forecasters indicate revenue growth in the 4-5% range this year. Despite the diminished economic outlook going into 2024, the investment market for hotels remains strong with several notable transactions occurring in the past year.
Our Outlook will recap the results for this past year, highlight some of the key transactions, and identify emerging trends.
