Irvine-based Sunstone Hotel Investors Inc. (NYSE: SHO) reported this week that its occupancy levels and daily rates continue to recover with the greatest demand growth occurring at the urban and group-oriented hotels within its portfolio.
In an operations update, the company said these hotels were “experiencing higher lead volumes, an increase in near-term booking activity, better than expected attendance at group events and increased business transient demand.”
While group booking activity remains down 13% from the same period of time in 2019, Sunstone reported that group revenue pace actually increased almost 200 basis points in recent weeks since June.
As of September, the firm’s portfolio has 86% of total transient room nights reserved for this month until December compared to two years ago. Average rates are up approximately 27% as well.
For all 15 hotels, Sunstone reported occupancy levels at 72% and revenue per average room (RevPAR) at $219.23 through August 31, quarter to date. Total revenue was $161 million.
Shares of the real estate investment trust (REIT) are down 1.2% today at $11.23 with a market cap of $2.4 billion.