For a comprehensive review of the Canada market, click below:
HVS In-Depth Canada Hotel Valuation Index:
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2013
The MONTREAL AIRPORT market is centered on Pierre Elliott Trudeau International Airport (YUL), which is a major passenger and cargo hub in Dorval, Quebec, about 20 kilometres from Downtown Montreal. In 2024, YUL registered 22,400,000 passengers. This airport is one of the few in Canada to have surpassed the number of passengers recorded before the pandemic.
Between 2025 and 2028, 685 new rooms are expected to enter the Montreal Airport market. In 2025, this market is expected to sustain a significant 12.8% drop in RevPAR year-over-year because of the return of room inventory that had been occupied by Immigration Canada government contracts; the return of these rooms to circulation within the market is putting downward pressure on occupancy. This inventory is projected to be absorbed, and market demand is projected to rebound from 2026 to 2028. Many hotels must ramp their operations back up to capture new transient, group, and corporate demand after having accommodated government demand for a number of years.
The notable new supply in the market is also adding to the soft occupancy performance. Meanwhile, ADR has significantly increased since the pandemic, and as a result the RevPAR for the market far exceeds pre-pandemic levels.
The Montreal Airport market experienced a significant growth in value over the past decade. The per-room value for the market increased from $75,900 in 2005 to $201,600 in 2024, reflecting average annual compounded growth well above 5.0%. This year, the per-room value is projected to stagnate temporarily as the market finds a new equilibrium.
The Montreal Airport market is expected to benefit from the addition of a new REM train station, and the airport is undergoing major infrastructure and renovations to expand the capacity to 35 million passengers. In addition, a secondary airport on the South Shore in St. Hubert is being expanded and will begin offering domestic flights in 2026; this airport is projected to accommodate four million passengers by 2028.
In the short term, the Montreal Airport market is not expected to reach the market values of the Vancouver Airport and Toronto Airport markets, which are expected to rank fourth and sixth overall in 2028, with per-room values of $415,700 and $307,300, respectively. The Montreal Airport market is expected to rank ninth in 2028 with the per-room value at $245,900 and an HVI value of 2.50.
The widespread impact of the coronavirus (COVID-19) has had an unprecedented impact on hotels and hotel values worldwide.
Consequently, the latest HVI analysis may no longer reflect the most current measure of lodging industry strength or the
hospitality investment market.
In each of our offices across the globe, we are working tirelessly to analyze the impact of recent events and provide timely
insights to help you navigate these uncharted waters. Because it is unclear how long the pandemic will last or how long related
restrictions will be in place, we are updating our analyses on a weekly basis using the most current data.
Additionally, examination of value trends in prior cycles can provide useful information. Historical patterns, together with
an understanding of the market’s current expectations for the eventual recovery of the industry and its performance, can provide
insights on the likely trajectory of decline and recovery for hotel values.
For the Latest Information and Analysis on the Impact of COVID-19Click Here
If you’d like to speak to someone personally to review details of our most current analysis, please don’t hesitate to contact
us directly.
ADR, Demand, Occupancy, RevPAR, and Supply Projections:
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