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Hotel occupancy and revenue dipped in December; commission discusses longer-term trend comparisons
Summary
Commission members reviewed December STAR data showing declines in occupancy and revenue compared with last December, discussed a missing large conference that affected results and debated which multi-year baselines best reflect post-COVID recovery.
Hotel representatives reported STAR data for December 2025 and year-to-date figures to the Nelson Tourism Commission on Jan. 20. December occupancy was down about 4% from the prior December, year-to-date occupancy was down 2.8%, and December ADR was down 1.6% while running 12-month ADR was up about 3.5%. Revenue and RevPAR were also down in December (RevPAR down 5.6%); running 12-month revenue figures were up 0.6%.
Panel members said part of December’s weakness was the absence of a large conference the previous year (a government finance officers association event representing roughly 200 room nights). Hotel representatives described transient demand softness and the effect of late-release collegiate football schedules on booking and group-block planning.
Commissioners discussed how to present trend data meaningfully. One member asked whether comparing to last year is useful if last year was unusually weak; staff said the annual report will show multiple years of data, including 2019, and will present longer-run averages as appropriate.
Quote: "December was weaker, than what we had hoped for and weaker than the year prior," a hotel representative said, summarizing the panel’s view of recent performance.
Next steps: Staff will include multi-year comparisons in the annual report to help commissioners see trends beyond single-year variability and will continue to monitor bookings and major event schedules.
