Canada -  Halifax-Dartmouth

The HALIFAX-DARTMOUTH hotel market benefits from non-energy exports the construction industry and the manufacturing industry, particularly with regard to shipbuilding. In addition, the combination of good weather, the low Loonie, and cheaper gas helped to bring more US and domestic tourists to Halifax in 2017 than in 2016.

The decline in offshore natural gas production is negatively affecting the local economy, but Halifax nevertheless continues to outperform the rest of Nova Scotia. According to the Conference Board of Canada, the city is projected to realize a 1.4% increase in real GDP in 2017, which is similar to the growth of 1.5% that was seen in 2016. The manufacturing sector is the main driver of the increase in economic activity, largely because of the ongoing shipbuilding contract at the Halifax Shipyard. At the same time, the services sector has experienced healthy growth with an expected increase of nearly 2% over the output level seen last year.

In 2016, the Halifax-Dartmouth hotel market attained a RevPAR of $93, which reflects a 10% increase over the previous year. The market saw strong demand growth coupled with the largest inventory decline in the country. The supply that was temporarily closed has re-opened and is coming back on board in 2018. The outlook for 2017 is very positive—the per-room value for the Halifax-Dartmouth market is projected increase 14.8%.

The per-room value for Halifax increased by 15.7% to $122,788 in 2016, and with the strong performance in 2017 the per-room value is projected to reach $140,902. The Conference Board of Canada projects positive real GDP growth of about 2% annually through 2021. The value per room is projected to grow at a moderate pace in the coming years—an increase of 4.7% to $161,744 is projected for 2020. With this growth, Halifax-Dartmouth market is projected to have the fifth highest per-room value in the country in 2020, a significant advance from eleventh position in 2016.

Change In Value For Market:

Legend
Significant Value Increase: Greater than +10%
Moderate Value Increase: Between +3% and +10%
Stable Values: Between -3% and +3%
Moderate Value Decline: Between -3% and -10%
Significant Value Decline: Less than -10%

Halifax-Dartmouth RevPAR Change

Halifax-Dartmouth RevPAR

Year RevPAR
2005 83.98
2006 83.67
2007 87.80
2008 86.67
2009 78.83
2010 79.64
2011 80.22
2012 81.82
2013 80.23
2014 81.31
2015 85.06
2016 93.45
2017 107.72
2018 (f) 115.17
2019 (f) 119.92
2020 (f) 123.66

For more information, please contact:

Monique Rosszell, AACI, MRICS, ISHC
[email protected]
  • +1 416 686-2260 (w)